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WikiLeaks: China Flexed Its Muscles Using U.S. Treasuries

"The cables, obtained by WikiLeaks, show that escalating Chinese pressure prompted a procession of soothing visits from the U.S.Treasury Department. In one striking instance, a top Chinese money manager directly asked U.S. Treasury Secretary Timothy Geithner for a favor.

In June, 2009, the head of China's powerful sovereign wealth fund met with Geithner and requested that he lean on regulators at the U.S. Federal Reserve to speed up the approval of its $1.2 billion investment in Morgan Stanley, according to the cables, which were provided to Reuters by a third party.

Although the cables do not mention if Geithner took any action, China's deal to buy Morgan Stanley shares was announced the very next day."

http://ca.reuters.com/article/businessNews/idCATRE71G4792011...




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"Public opinion clearly rattled China's financial leaders. One cable shows Liu citing an internet discussion forum, saying "the Chinese leadership must pay close attention to public opinion in forming policies."

How is it China's leaders have to worry about public opinion when ours clearly don't?

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uh oh.. looks like the Federal Reserve and Tim Geithner are easily controlled by the Chinese.