No major impact expected on China by US QE tamp down, says Zakaria
Editor: 管理员 Date:2013-07-31 Hit:3554
%3CP%3E%3CFONT%20face%3DVerdana%3EChina%20is%20unlikely%20to%20feel%20any%20major%20impact%20once%20the%20US%20Federal%20Reserve%20shuts%20off%20the%20money%20faucet%20known%20as%20the%20quantitative%20easing%20%28QE%29%2C%20said%20US%20columnist%20and%20CNN%20host%20Fareed%20Zakaria.%3C/FONT%3E%3C/P%3E%0D%0A%3CP%3E%3CFONT%20face%3DVerdana%3EThat%27s%20because%20the%20Fed%20is%20likely%20to%20ratchet%20down%20QE%20levels%20gradually%20as%20the%20US%20economy%20regains%20its%20strength%20after%20taking%20a%20nosedive%20more%20than%20five%20years%20ago.%20And%20that%20easy-does-it%20approach%20will%20ensure%20that%20China%20does%20not%20feel%20the%20sting%2C%20Zakaria%20told%20Xinhua%20in%20an%20exclusive%20interview.%3C/FONT%3E%3C/P%3E%0D%0A%3CP%3E%3CFONT%20face%3DVerdana%3E%22So%20far%2C%20we%20%28the%20US%29%20are%20still%20in%20an%20environment%20that%20is%20economically%20depressed%2C%20where%20growth%20is%20not%20where%20it%20could%20be%2C%20and%20so%20I%20believe%20the%20Federal%20Reserve%20will%20continue%20the%20%28QE%29%20policy%2C%22%20said%20Zakaria%2C%20who%20was%20named%20in%202010%20by%20Foreign%20Policy%20magazine%20as%20one%20of%20the%20world%27s%20top%20100%20global%20thinkers.%3C/FONT%3E%3C/P%3E%0D%0A%3CP%3E%3CFONT%20face%3DVerdana%3E%22I%20don%27t%20expect%20any%20early%20end%20to%20QE%2C%20and%20I%20think%20that%20is%20as%20it%20should%20be%20because%20growth%20is%20not%20where%20it%20should%20be%2C%22%20he%20said.%3C/FONT%3E%3C/P%3E%0D%0A%3CP%3E%3CFONT%20face%3DVerdana%3EThe%20Fed%20indicated%20last%20month%20that%20its%2085-billion-dollar-a-month%20bond-buying%20program%20could%20be%20%22tapered%22%20before%20year%27s%20end%2C%20but%20later%20Fed%20chief%20Ben%20Bernanke%20began%20backpedaling%20after%20investors%20became%20nervous.%3C/FONT%3E%3C/P%3E%0D%0A%3CP%3E%3CFONT%20face%3DVerdana%3EZakaria%20said%20that%20once%20the%20Fed%20does%20begin%20trimming%20QE%2C%20such%20a%20move%20%22will%20be%20a%20sign%20the%20US%20economy%20is%20doing%20well.%22%3C/FONT%3E%3C/P%3E%0D%0A%3CP%3E%3CFONT%20face%3DVerdana%3EMeanwhile%2C%20the%20Fed%20is%20keeping%20its%20eye%20fixed%20on%20US%20growth%2C%20which%20will%20also%20benefit%20China%2C%20he%20said.%3C/FONT%3E%3C/P%3E%0D%0A%3CP%3E%3CFONT%20face%3DVerdana%3E%22If%20the%20US%20economy%20is%20growing%2C%20that%20is%20good%20for%20China%2C%20and%20it%27s%20good%20for%20the%20world%2C%22%20he%20said%2C%20adding%20that%20continued%20US%20growth%20means%20the%20world%27s%20largest%20economy%20will%20continue%20to%20import%20Chinese%20goods.%3C/FONT%3E%3C/P%3E%0D%0A%3CP%3E%3CFONT%20face%3DVerdana%3E%22So%20what%20I%20believe%20the%20Federal%20Reserve%20will%20do%2C%20is%20to%20keep%20its%20eye%20very%20steadily%20on%20that%20question%2C%22%20Zakaria%20said.%3C/FONT%3E%3C/P%3E%0D%0A%3CP%3E%3CFONT%20face%3DVerdana%3E%22While%20it%20is%20certainly%20going%20to%20be%20a%20tricky%20process%20to%20taper%20down%20quantitative%20easing%2C%20I%20think%20that%20so%20far%20the%20Federal%20Reserve%20has%20pursued%20a%20very%20wise%20course%2C%20and%20I%20don%27t%20believe%20it%20will%20start%20tapering%20until%20there%20is%20significantly%20more%20robust%20growth%20in%20the%20United%20States%2C%22%20he%20said.%3C/FONT%3E%3C/P%3E%0D%0A%3CP%3E%3CFONT%20face%3DVerdana%3EChina%20should%20not%20fret%20over%20the%20US%20move%20on%20QE%2C%20as%20%22China%27s%20interests%20are%20aligned%20very%20strongly%20in%20the%20same%20direction%20as%20the%20United%20States%2C%22%20he%20said.%3C/FONT%3E%3C/P%3E%0D%0A%3CP%3E%3CFONT%20face%3DVerdana%3E%22I%20think%20interest%20rates%20will%20naturally%20rise%20a%20little%20bit%2C%20but%20I%20don%27t%20think%20they%20will%20rise%20a%20huge%20amount%20because%20there%20is%20very%20little%20inflation%20in%20the%20Western%20world%2C%22%20Zakaria%20added.%3C/FONT%3E%3C/P%3E%0D%0A%3CP%3E%3CFONT%20face%3DVerdana%3E%3CBR%3E%28Global%20Times%29%3CBR%3E%3C/FONT%3E%3C/P%3E
