Guest
07-14-2011, 08:55 PM
The news reports what the Democrats and Republicans are doing, or not doing. But increasingly, the most important party at the negotiating table is beginning to be heard.
From today's Wall Street Journal...
...Treasury officials say the government will not have enough cash to pay all its bills after Aug. 2 if the debt cap is not increased. And they say leaders need to reach an agreement by the end of next week to get legislation enacted before that date.
Washington's paralysis is stoking concern on Wall Street and around the world over whether policy makers will act soon and avoid defaulting on financial obligations, including debt payments. Even before a formal credit default, the stalemate risks a possible downgrade of U.S. government debt.
For China, which has the world's largest pile of foreign exchange at $3 trillion—an estimated two-thirds of it in dollars—the inability to resolve the debt-ceiling dispute, and the longer-term deficit problem, is especially worrisome.
China has long talked of diversifying, and officials have said in the past year that Beijing has bought more European debt.
"We hope the U.S. government adopts responsible policies to protect the interests of investors," said Chinese Foreign Ministry spokesman Hong Lei, whose government held at least $1.152 trillion in Treasury securities as of April, and is the U.S. government's largest creditor....
I hope our stalemated partisan politicians are thinking about taking lessons in Mandarin. They're going to need it.
From today's Wall Street Journal...
...Treasury officials say the government will not have enough cash to pay all its bills after Aug. 2 if the debt cap is not increased. And they say leaders need to reach an agreement by the end of next week to get legislation enacted before that date.
Washington's paralysis is stoking concern on Wall Street and around the world over whether policy makers will act soon and avoid defaulting on financial obligations, including debt payments. Even before a formal credit default, the stalemate risks a possible downgrade of U.S. government debt.
For China, which has the world's largest pile of foreign exchange at $3 trillion—an estimated two-thirds of it in dollars—the inability to resolve the debt-ceiling dispute, and the longer-term deficit problem, is especially worrisome.
China has long talked of diversifying, and officials have said in the past year that Beijing has bought more European debt.
"We hope the U.S. government adopts responsible policies to protect the interests of investors," said Chinese Foreign Ministry spokesman Hong Lei, whose government held at least $1.152 trillion in Treasury securities as of April, and is the U.S. government's largest creditor....
I hope our stalemated partisan politicians are thinking about taking lessons in Mandarin. They're going to need it.