Radio Rallies & Reversals

Let the trade and currency wars begin. Now that the US Fed's QE2 missile is away, what will be the response from other countries. The last thing the global economy needs is a trade war. The longer you fight it out in no mans land, there's a tendency to revert to 'every man to himself'.

Ahead of next weeks G20 meeting, tension are on the rise over currency manipulation, and other central banks around the world are considering their response. Everyone is trying to export their way to economic growth. In Asia, China is key - As they hold back their currency, other Asian countries have to do the same in order to compete for exports.

Should QE2 work in reviving the US economy, everyone should be better off as the US is still the worlds biggest consumer.

GB