Forcing China to revalue currency may boomerang: analysts

WASHINGTON (AFP) - The US may be barking up the wrong tree by trying to force China to revalue its currency as it could fuel a rise in prices of favorite American products such as the iPhone and even plunge the Asian giant into social unrest, some analysts warned Wednesday.

Click here to read the rest of this article.

Add to: Add to Delicious del.cio.us, Add to Digg Digg, Add to Yahoo Yahoo!, Add to Google Google

Other articles in the Business news section

Instant view - Bank injects further £... 8 minutes ago

LONDON (Reuters) - The Bank of England voted to inject another 50 billion pounds into the finanical system to try to shore up a fragile recovery in the economy. Following are analysts' reactions to the decision: PHILIP RUSH, NOMURA "We still doubt how effectively the second dose of quantitative easing in this second course of treatment will boost growth. "The MPC would likely claim growth would have been much weaker without its actions, and cite the subsequent turnaround in the data as evidence... ...more

Bank says new gilt buybacks to focus... 9 minutes ago

LONDON (Reuters) - The Bank of England said on Thursday that it was shortening the average maturity of gilts that it purchases as part of its extended quantitative easing purchases to avoid frictions in the gilt market. Bank said it would hold three weekly buybacks, one of 3-7 year gilts, one of 7-15 year gilts and one of gilts with a maturity of more than 15 years. Each reverse auction would initially have a volume of 1.5 billion pounds. Previously Bank had bought gilts in blocks of 3-10 years,... ...more

High stakes for South Sudan oil crisis... 13 minutes ago

The stability and viability of the world's newest nation South Sudan is at risk unless a deal is struck to end a furious row over oil with former foes in north Sudan, analysts warn. ...more

Osborne says QE support vital to economy... 15 minutes ago

LONDON (Reuters) - Chancellor George Osborne said on Thursday that the Bank of England's quantitative easing played a key role in supporting the economy at a time of fiscal consolidation, after he approved a 50 billion pound expansion of the programme. In a letter to Bank's Governor Mervyn King, Osborne said Bank had provided evidence of QE's effectiveness in supporting the economy. ... ...more

Cuts drive Greek unemployment to record... 25 minutes ago

ATHENS (Reuters) - Greece's jobless rate rose to a fresh record of 20.9 percent in November, highlighting the pain imposed by austerity on ordinary Greeks as the country negotiates a new pain-for-gain package with its EU and IMF lenders. Industrial output also got worse, statistics service ELSTAT data showed, while inflation eased slightly. "The unemployment rate worsened at a much faster pace than expected, while employment shrank further. The fall of employed people by an annual 9.4 percent in... ...more

Bank injects £50 billion more to support... 27 minutes ago

LONDON (Reuters) - The Bank of England voted to inject another 50 billion pounds into the financial system as part of its efforts to shore up a fragile recovery in the economy, which remains at risk of slipping back into recession. The central bank left its key interest rate at a record low of 0.5 percent, and as expected said it would buy another 50 billion pounds of assets - mostly government bonds - with freshly printed money. ... ...more