Identifier
Created
Classification
Origin
09SAOPAULO161
2009-03-20 19:14:00
UNCLASSIFIED
Consulate Sao Paulo
Cable title:
Media Reaction-Global Economy: Financial market crisis;
how-toVZCZCXYZ0020 OO RUEHWEB DE RUEHSO #0161 0791914 ZNR UUUUU ZZH O 201914Z MAR 09 FM AMCONSUL SAO PAULO TO RUEHC/SECSTATE WASHDC IMMEDIATE 9033 INFO RHEHNSC/NATIONAL SECURITY COUNCIL WASHDC IMMEDIATE RUEHBR/AMEMBASSY BRASILIA PRIORITY 0181 RUEHRI/AMCONSUL RIO DE JANEIRO PRIORITY 9071
UNCLAS SAO PAULO 000161
SIPDIS
STATE INR/R/MR; IIP/R/MR; WHA/PD
DEPT PASS USTR
USDOC 4322/MAC/OLAC/JAFEE
E.O. 12958: N/A
TAGS: KMDR OPRC OIIP XM XR XF BR
SUBJECT: Media Reaction-Global Economy: Financial market crisis;
Slaying One Dragon at a Time; In action, the dollar factory Sao
Paulo; March 20, 2009
Title- Slaying One Dragon at a Time
Editorial in liberal Folha de S. Paulo (3-20) states: "....When the
recession is over....the money in excess in the market and the debt
accumulated by governments, especially the U.S., may turn into a
source of problems....The public debt rollover, in the rebound
phase, may pressure the financial markets and force interest rate
increases, creating difficulties for all countries. All
governments, including the Brazilian, should think about this"
Title- In action, the dollar factory
Editorial in center-right O Estado de S. Paulo (3-20) says: "From
all the actions known to curb the pace of the [worsening] economic
crisis, it seems there is none left within the Federal Reserve. The
U.S. central bank made it official yesterday with its most radical
effort in the fight against depression. It is going to print money,
a bunch of it....But printing money at this speed, says the
textbook, echoes with inflation....judging by the first reaction,
the Federal Reserve's move worked....[but] the risks of this Fed's
operation going badly are considerable....Nevertheless, the U.S. has
no option. It must slay one dragon at a time - and the monster of
depression is the one that scares the U.S. today."
WHITE
SIPDIS
STATE INR/R/MR; IIP/R/MR; WHA/PD
DEPT PASS USTR
USDOC 4322/MAC/OLAC/JAFEE
E.O. 12958: N/A
TAGS: KMDR OPRC OIIP XM XR XF BR
SUBJECT: Media Reaction-Global Economy: Financial market crisis;
Slaying One Dragon at a Time; In action, the dollar factory Sao
Paulo; March 20, 2009
Title- Slaying One Dragon at a Time
Editorial in liberal Folha de S. Paulo (3-20) states: "....When the
recession is over....the money in excess in the market and the debt
accumulated by governments, especially the U.S., may turn into a
source of problems....The public debt rollover, in the rebound
phase, may pressure the financial markets and force interest rate
increases, creating difficulties for all countries. All
governments, including the Brazilian, should think about this"
Title- In action, the dollar factory
Editorial in center-right O Estado de S. Paulo (3-20) says: "From
all the actions known to curb the pace of the [worsening] economic
crisis, it seems there is none left within the Federal Reserve. The
U.S. central bank made it official yesterday with its most radical
effort in the fight against depression. It is going to print money,
a bunch of it....But printing money at this speed, says the
textbook, echoes with inflation....judging by the first reaction,
the Federal Reserve's move worked....[but] the risks of this Fed's
operation going badly are considerable....Nevertheless, the U.S. has
no option. It must slay one dragon at a time - and the monster of
depression is the one that scares the U.S. today."
WHITE