Many developing economies are seeing increases in their currencies due to hot money coming in.  At the recent G20 meeting, it was supposed to be about pushing China to increase their currency valuation.  Instead it seemed to be more about the US devaluation of their currency through the expansion of the money supply.  Taiwan imposed limits on bond holding by foreigners this week.  The Philippines currency has increased 20% against the dollar recently.

I should go ask my Econ. professor.  He explained the Financial Crisis as similar to Katrina.  He is great at giving an easy to understand explanation.


G-20 Nears Pact but Tensions Still Fester - WSJ

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