By 2010, on October 21, west China city newspaper
Due to the unemployment situation is still severe inflation had low risk, the fed has prepared when necessary, take further looser monetary policy, promote the economic recovery and create jobs, make the inflation rate to appropriate level. Federal reserve chairman Ben bernanke said. -
The U.S. federal reserve officials said more than 19, the fed will take further monetary easing. One officer says, quantitative easing will reach $1,000 a month.
So-called quantitative easing is fed using dollars to buy all kinds of bonds and non-performing assets, its essence is the managers of alternative. This will cause further dollar devaluation.
Loose scale
At $1000 per month
Reuters 19, although the fed monetary policy towards unconventional internal differences, but the mainstream American economic views seem to agree still need further stimulus policy support, but this is likely to buy Treasury bonds through increased.
The Atlanta branch governor Dennis interview: "if we want to launch the next round of quantitative easing amount must be large enough to play." He said: "according to our previous monthly on 1000 billion dollars in it, I think the number of course in considering within the scope of the project... but if only 10 billion us dollars, it is too small." In the earlier, the federal reserve chairman Ben bernanke said on October 15, due to the unemployment situation has still serious inflation, low risk, the fed has prepared when necessary, take further looser monetary policy, promote the economic recovery and create jobs, make the inflation rate to appropriate level. During the financial crisis in maintaining close to zero ultra-low interest rates, bought about 1.7 trillion of housing mortgage-backed bonds and Treasury bonds, associated with lower market borrowing costs.

Still save variables
Relevant measures on next month?
American economic stimulus needs more appears to be fed core ideas, but has not yet won all fed officials consistent support.
The Dallas fed governor fisher said, although branches of economic growth to increase employment, but take further monetary easing conditions remain immature. And Chicago branch governor Evans not only support further monetary easing, and repeated calls for the price level, we should realize the target. Achieve the target price level required for a endure high inflation, inflation below to offset the default under normal levels.
Federal reserve board of directors, Elizabeth, said the duke of further monetary loose in the November meeting not do-or-die, "now and meeting with many variables, still."
Analysts expect held in early November, the next meeting, the fed rate decisions related measures will propably.
The warning
Currency will cause trade war
The fed expectations of further easing monetary policy to suppress the dollar dropped to 10 months. Emerging economies are against the hot money inflow domestic capital market. The people's bank of China announced after 19 rates for the dollar, the slowdown.
The world trade organization chief PASCAL lamy 19 countries, said recently about the exchange rate policy problem of dispute may endanger the global trade. Lamy says, in the recent problems in the exchange rate policy on all the dispute may still will endanger the global trade. Although currency is only a potential threat, but this threat to trade may be very dangerous. If no problem if treat exchange cooperative attitude, so precious to economic stability and recovery process may be faced with challenges.
After a day, the IMF chief dominique DE Mr Strauss-kahn in Shanghai, China also warned that if the world's major economies continue to maintain cooperation, not in strife and exchange of global economic recovery that will be in danger.
G20 summit "currency war" key
The dollar index recently seems to have no reason to the momentum, more and more countries is pulled into the exchange rate for American also seem to want, the currency war leads to the next clash "battle" on nov - the G20 summit held in Seoul.

On October 15, the delay in renminbi exchange rate to China. The Treasury said, scheduled by the international economy and exchange rate policy report until November 2 U.S. mid-term congressional elections on November 11th and 20 countries group (G20 summit published after Seoul). The Treasury said the report was released, delay in order to take advantage of this opportunity, the G20 summit in this issue more progress. Cover Turner, says he will also CaiChangHui G20 in
Discussion on other countries together to appeal to put pressure on China's currency. This action will be the focus of direct monetary disputes to focus the G20 summit held in Seoul next month.
However, a conflict is likely to this month in the 22nd finance ministers and central bank governors meeting G20 in advance. Analysts have expected, the official exchange rate will discuss recent dispute. On October 8, after the IMF and world bank this week at the annual meeting of the dispute, exchange rate has been agenda. In many international voice worry, if not find a discussion of issues, global will face new currency war or protectionism increased risk, the global economy could continue recovery will be facing enormous threat. According to the southern daily"
Media voice
The ft that America's customized strategies that will increase in Asia, the pressure of hot money also make rapid growth in the asia-pacific region economy of a dilemma facing the further deterioration, these economies for its allowed on the pressure on the appreciation of its currency, fearing will destroy their capital inflows in economic stability.
The Wall Street journal, domestic economy strong growth in western countries and abnormal looser monetary policy promote huge capital into emerging markets, but the underlying the boom. The central Banks in emerging economies can postpone raising rates to avoid more hot money inflows, but this could trigger inflation and asset bubble. Additional, if the emerging markets, hedge mood will lead to a large amount of money breakout.
Enoch prize winner says "war" no money
There are signs that represented by the western new quantitative easing, is to bring new risk in emerging markets. The world bank and the international monetary fund (IMF) has repeatedly warned institutions such as the big money again, emerging economies may give an influx of hot money and asset bubble etc, the major risk, to some extent, this is to say the world economy was one of the biggest "time-bomb".
The Nobel Prize winner SiDiGeLiCi 19 says, in the current international economic situation, countries should strengthen cooperation with common currency crisis, while "war", will have no real winners. SiDiGeLiCi that America should focus on the development of national economy, the United States and the world economic growth, some warm further improve the state of the currency flexibility, otherwise their larger space can protect the industrial development and public interests. In his new book, free fallers: America, free markets and decline in the world economy, SiDiGeLiCi warning, when the economic situation, some countries often only from their own interests, but the pace of global through coordination, to formulate strategic appear especially key recovery.
When asked about his American federal reserve may adopt new quantitative looser monetary policy, SiDiGeLiCi criticism, the fed monetary policy in a certain extent, caused the current exchange rate of disputes mess, international financial market to bring instability, and is likely to cause new asset bubble.

"Chinese textile net source."

Editor: lara