Here's Why China's Rate Hike Was Groundbreaking, And Shows They're Really Ready To Dominate The World

abacus

Photo: wikimedia commons

Today’s surprise Chinese rate hike threw a big ol’ monkey wrench into the markets today, as it sent the dollar soaring and gold plunging.But here’s what’s interesting: Reuters (via @fttilt) points out that the PBOC has abandoned its tradition of rate movements based on increments of 0.27. The tradition was based on what was easiest to count on the abacus.

What’s the signal here? We’ve arrived; we know the impact of our moves, and we’re ready to be a serious global financial player. Enough with the past.

Now click here to see the case that China is a massive bubble on the verge of collapse >

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