31 Jul 2011
Peter Schiff: Problem is the debt, not the ceiling
The country which holds more U.S. debt than any other, has hit out at the failure of Congress to reach a deal over its debt ceiling. China says the political deadlock in Washington threatens the entire global economy.
So far Republicans and Democrats have delayed a vote over limiting what the country owes, as they haven't agreed on rival budgets. They have until Tuesday to avoid a potentially devastating default. Earlier in the week, U.S. Secretary of State Hillary Clinton was in Beijing to reassure Asian leaders, that America will not fall back on its debt payments. But Peter Schiff from investment company Euro Pacific Capital, thinks China could well dump the dollar as its main reserve currency.