The Monetary Policy Of The Federal Reserve And The Central Bank Of Japan Is Unpredictable.

The group of twenty finance ministers and central bank governors arrived in Shanghai to discuss the world economy, while China's official media sent them two messages: the monetary policy of high-income economies has brought challenges to emerging market countries, and gambling against China will surely fail.

On the occasion of the two day meeting of finance ministers and central bank governors of the group of twenty, the Xinhua News Agency commented that central banks such as the Federal Reserve should consider the impact of their monetary policy on other countries.

Xinhua pointed out in the commentary that

Back to the US, asset bubbles may burst, economic growth will be weak, structural reforms may have to stop.

The Fed has already sent money to other countries in the world, raising asset prices in response to the domestic economic downturn.

Now, the Fed may tighten its policy, or will have a new impact on emerging markets.

Xinhua pointed out that for Japan, lowering interest rates to below zero is equivalent to beggar thy neighbour's monetary policy.

Xinhua also criticized low interest rates in Japan and Europe as triggering competitive currencies.

To undermine global financial stability.

The people's Daily Overseas Edition said in a front page article on Friday.

People on the brink of collapse have neglected a key: China is not Japan.

Japan has experienced 20 years of economic stagnation.

Mei Xinyu, a researcher at the Ministry of Commerce, said in an article published in the people's Daily that "China's independence and good prospects determine that those who are bad mouthing China are doomed to failure."

Billionaire Soros and other investors have said that China is gradually heading for a hard landing, which could trigger a global crisis.

In response, China's official media have issued a rebuttal.

They say that although China's economic growth has slowed to its lowest level in 25 years, the larger volume of the economy than before means that China is still the biggest contributor to global economic expansion.