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Manipulation - Chinese Style


Today’ topic. Manipulation by the Chinese.
It is well known and proved the Chinese manipulate:
  •  Their currency to avoid the problems of tariffs and other trade matters.
  • Companies to steal their intellectual property.
  • The management of other countries through loans.
  • Internal communications of countries by Huawei. 



It is NOT well known the Chinese may be manipulating stock markets by manipulating the trade talks, possibly by short selling. This signals that a few in China are amassing great fortunes as the trade talks lumber along - ineffectually. This implies that while fortunes are being made, there will be no clear resolution or agreements to even the simpler issues of trade.

Simple plan for Chinese wealth*:
They say “No go,” and the markets tumble.
They say “Let’s talk,” and the markets rise.
*When you know the when, you stand to make a fortune. 

While all talk about uncertainty, the point is the Chinese may also manipulate uncertainty. 

It is recommended that the US (appear to) focus on other trade deals and delay further debacles in working with China. Genuine talks can begin only when the Chinese accumulation of wealth through this window of “controlled uncertainty” is stopped.

This eclipses all economic theories, and moves us into realms of pure greed and power. Communist or capitalist, greed has no politics.  The Chinese may be truly smart, but once their paradigms of power are understood, they are predictable.

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