The chairman of the Central Bank of Brazil, Henrique Meirelles, has criticized the Fed's decision of quantative easing, saying the U.S. to exotic measures to increase liquidity of its credit market can have side effects like creating bubbles in dangerous countries like Brazil. This brings great opportunities however for penny stocks for dummies traders.
The Fed's measure also concerns other major economies, Meirelles said, because countries like Brazil will continue growing demand and a "robust". The extra liquidity injected into the system by the Fed may cause "imbalance," he said.
"Many countries" have the same opinion on the question of Brazil, Meirelles said, something that can facilitate an agreement at the meeting next week in Seoul.
Meirelles said there are signs of some members of the G20 that is possible to reach an agreement on the issue.
Schäuble, Germany, labeled as unacceptable a proposal to establish export quotas to mitigate trade imbalances, as suggested by U.S. and other countries at the meeting of G20 finance ministers of South Korea in late October.
The German finance minister also said that European countries should adopt common positions in the world in order to effectively deal with global economic powers that are emerging.
"In times of globalization, we have no alternative to Europe to work. We need to understand and take seriously our collective responsibility," said Schäuble, who will attend the conference in Seoul.
Cui, China's chief negotiator in the G20, also firmly rejected the proposal by the U.S. Treasury secretary, Timothy Geithner, to negotiate targets for reducing the current account deficits and ease trade imbalances in the world.
"The imposition of an artificial numerical target only reminds us of the era of planned economies," said Cui. "We believe a discussion on targets for current account ignores the bigger problem. If you look at the world economy, there are many issues that deserve more attention - the problem of quantitative easing, for example."
Geithner suggested creating goals surplus or deficit of less than 4% of GDP as an alternative to press China to allow its currency, the yuan, to appreciate more quickly. Making the yuan go up or down should be the last thing on the fEds mind however as its principle focus should be on creating jobs quickly for the american economy. A bull run in the overall economy and the broad stock market would make penny stock investing for dummies so easy that we would all be rich. However stocks at all price levels need to be researched carefully before investing money into them.
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