IMF's Rajan: Can't Rule Out A Run On The US Dollar

[NVMojo]

LONDON -(Dow Jones)- A run on the U.S. dollar that would see investors rushing to dump the currency is a possibility, although it's difficult to judge how likely an outcome that is, the International Monetary Fund's chief economist said Monday.

Speaking at a conference on global imbalances, Raghuram Rajan also said a rapid and large appreciation of the Chinese yuan against the dollar and other currencies would be more likely to damage the world economy than be of benefit to it.

With the U.S. current account deficit running at close to 7% of gross domestic product, economists have long expected the dollar to depreciate against other major currencies, and feared the dollar could go into free fall if that prompted international central banks and investors to flee the greenback.

"We are in a risky situation," said Rajan. "You cannot discount a run on the dollar. But you cannot fully quantify that risk at the moment."

more...http://tinyurl.com/dtt7t

http://www.nasdaq.com/aspxcontent/NewsStory.aspx?cpath=20060123\ACQDJON200601231026DOWJONESDJONLINE000413.htm

I am sorry but the link above splits up when you go to click on it. Here's a tiny url:

http://tinyurl.com/dtt7t

[acmavm]

1. bush** keeps badmouthing China and a run on the dollar will just be

the start of things.

edit: Just to say he's so full of shit.

[cornermouse]

2. In other words, wealthy people living on the edge.

Maybe they should turn it into a reality tv show. :sarcasm:

[unblock]

3. omigod! our wealth might run out! better invade another oil-rich nation!

:sarcasm:

[Dover]

4. Interesting sites

Just found them in a google (while trying to find a working link to your article...which I haven't yet). A working link would be helpful.

In the meantime, check these out.

http://www.internationaleconomics.net/archives/news112004.html

http://www.exorthodoxforchrist.com/gold_dinar_coming.htm

[NVMojo]

7. hmmm, I will try to get the whole site link and post it in two separate

parts that will have to be pasted into your browser together. That's what I had to do to reach it:

Here:

first click on this:

http://www.nasdaq.com/aspxcontent/NewsStory.aspx?cpath=20060123

and then add this to the rest of it in the browswer:

\ACQDJON200601231026DOWJONESDJONLINE000413.htm

and then surf to it. This is what I had to do to get the string to work.

[izzie]

5. My thoughts are that the money people wait better than this------

group. The far right cultural nut people. I think the money people see keeping the USA going longer and putting even more money in their pockets a good deal. Where as these emotional religious groups do not care and only want to stuff any thing we do, they do not like, up our ass so to speak and faster the better. Do not know how to put that into nice English.

[Dover]

6. Am I the only one having problems with the link in the OP?

That link doesn't go to the article, and I can't find it on the page that comes up.

[NVMojo]

8. the link breaks up so try this...

http://tinyurl.com/dtt7t

[Dover]

9. ahhhh.......thanks. That works. n/t

[NVMojo]

10. sorry about that. I had trouble with it when I got it from the GATA site

[SupplySideLiberal]

11. I have a hard time respecting an IMF analysis

after they've destroyed one third world economy after another protecting Western bankers at the expense of poor people.