{"id":34854,"date":"2018-06-07T05:36:24","date_gmt":"2018-06-07T10:36:24","guid":{"rendered":"http:\/\/olduvai.ca\/?p=34854"},"modified":"2018-06-07T05:36:24","modified_gmt":"2018-06-07T10:36:24","slug":"dollar-is-king-indonesia-joins-india-in-begging-fed-to-stop-shrinking-its-balance-sheet","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=34854","title":{"rendered":"&#8220;Dollar Is King&#8221;: Indonesia Joins India In Begging Fed To Stop Shrinking Its Balance Sheet"},"content":{"rendered":"<div id=\"block-zerohedge-page-title\" class=\"block block-core block-page-title-block\">\n<h3 class=\"page-title\"><a href=\"https:\/\/www.zerohedge.com\/news\/2018-06-06\/dollar-king-indonesia-joins-india-begging-fed-stop-shrinking-its-balance-sheet\"><span class=\"field field--name-title field--type-string field--label-hidden\">&#8220;Dollar Is King&#8221;: Indonesia Joins India In Begging Fed To Stop Shrinking Its Balance Sheet<\/span><\/a><\/h3>\n<\/div>\n<div id=\"block-zerohedge-content\" class=\"block block-system block-system-main-block\">\n<article class=\"node node--type-article node--view-mode-full\" role=\"article\" data-gtm-vis-recent-on-screen-2077925_22=\"1710\" data-gtm-vis-first-on-screen-2077925_22=\"1710\" data-gtm-vis-total-visible-time-2077925_22=\"100\" data-gtm-vis-has-fired-2077925_22=\"1\">\n<footer class=\"node__meta\">\n<div class=\"submission-wrapper\"><\/div>\n<div class=\"a2a_kit a2a_kit_size_32 a2a_default_style\" data-a2a-icon-color=\"#222\">\n<div>It&#8217;s getting a little tight around the neck for emerging market central bankers.<\/div>\n<\/div>\n<\/footer>\n<div class=\"node__content\">\n<div class=\"clearfix text-formatted field field--name-body field--type-text-with-summary field--label-hidden field__item\">\n<p>On the same day that the <a href=\"https:\/\/abcnews.go.com\/International\/wireStory\/malaysias-central-bank-governor-quits-amid-land-deal-55686730\">governor of Malaysia&#8217;s central bank <\/a>quit, and just days after Urjit Patel, governor of the Reserve Bank of India, took the unprecedented step <a href=\"https:\/\/www.zerohedge.com\/news\/2018-06-04\/central-banker-observes-sudden-evaporation-dollar-funding-warns-global-turmoil\">of writing an oped to the Federal Reserve<\/a>, begging the US central bank to step tightening monetary conditions, and shrinking its balance sheet, thereby creating a global dollar shortage which has slammed emerging markets (and forced India into an unexpected rate hike overnight), Indonesia\u2019s\u00a0new central bank chief joined his Indian counterpart in calling on the Federal Reserve to be &#8220;more mindful&#8221; of the global repercussions of policy tightening amid the ongoing rout in emerging markets.<\/p>\n<p>As Bloomberg reports, in his first interview with international media since he took office two weeks ago, Bank Indonesia Governor\u00a0Perry Warjiyo &#8211; who bears a remarkable resemblance to what Jamie Dimon would look like if he were about 40 pounds overweight &#8211; echoed what <a href=\"https:\/\/www.zerohedge.com\/news\/2018-06-04\/central-banker-observes-sudden-evaporation-dollar-funding-warns-global-turmoil\">Patel said just days earlier<\/a>, namely that <strong>the pace of the Fed\u2019s balance sheet reduction was a key issue for central bankers across emerging markets. <\/strong><\/p>\n<figure class=\"caption caption-img\" role=\"group\"><a href=\"https:\/\/www.zerohedge.com\/sites\/default\/files\/inline-images\/warjiyo.jpg?itok=D9g3RJOD\" data-image-external-href=\"\" data-image-href=\"\/sites\/default\/files\/inline-images\/warjiyo.jpg?itok=D9g3RJOD\" data-link-option=\"0\"><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/www.zerohedge.com\/sites\/default\/files\/inline-images\/warjiyo.jpg\" srcset=\"https:\/\/www.zerohedge.com\/sites\/default\/files\/styles\/inline_image_desktop\/public\/inline-images\/warjiyo.jpg?itok=D9g3RJOD 1x\" alt=\"\" width=\"500\" height=\"334\" data-entity-type=\"file\" data-entity-uuid=\"57266849-1169-4c38-a517-0e19421eebfb\" data-responsive-image-style=\"inline_images\" \/><\/a><figcaption><em>Bank Indonesia Governor\u00a0Perry Warjiyo <\/em><\/figcaption><\/figure>\n<p>As a reminder, the RBI Governor made exactly thew same comments\u00a0earlier this week, arguing that slowing the pace of stimulus withdrawal at a time when the US Treasury is doubling down on debt issuance, would support global growth, as the alternative would be an emerging markets crisis that would spill over into developed markets.<\/p>\n<p><a href=\"https:\/\/www.zerohedge.com\/sites\/default\/files\/inline-images\/dollar%20funding%20withdrawal.jpg\" data-image-external-href=\"\" data-image-href=\"https:\/\/www.zerohedge.com\/sites\/default\/files\/inline-images\/dollar%20funding%20withdrawal.jpg\" data-link-option=\"0\"><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/www.zerohedge.com\/sites\/default\/files\/inline-images\/dollar%20funding%20withdrawal.jpg\" srcset=\"https:\/\/www.zerohedge.com\/sites\/default\/files\/styles\/inline_image_desktop\/public\/inline-images\/dollar%20funding%20withdrawal.jpg?itok=w7ECxBw- 1x\" alt=\"\" width=\"500\" height=\"338\" data-entity-type=\"file\" data-entity-uuid=\"40c9dc88-7636-4fce-a3b6-57e3f5557012\" data-responsive-image-style=\"inline_images\" \/><\/a><\/p>\n<p>In a thinly veiled warning addressing the Fed, Warjiyo said that &#8220;we know every country must decide their policy based on domestic circumstances but look, you have to take account of your actions and the impact of your actions to other countries, especially the emerging markets.&#8221;<\/p>\n<p>&#8230;click on the above link to read the rest of the article&#8230;<\/p>\n<\/div>\n<\/div>\n<\/article>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>&#8220;Dollar Is King&#8221;: Indonesia Joins India In Begging Fed To Stop Shrinking Its Balance Sheet It&#8217;s getting a little tight around the neck for emerging market central bankers. On the same day that the governor of Malaysia&#8217;s central bank quit, and just days after Urjit Patel, governor of the Reserve Bank of India, took the [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[2],"tags":[124,1732,303,1444,20388,8701,8625,839,3650,4318],"class_list":["post-34854","post","type-post","status-publish","format-standard","hentry","category-economics","tag-central-banks","tag-emerging-markets","tag-fed","tag-indonesia","tag-perry-warjiyo","tag-qt","tag-quantitative-tightening","tag-us-dollar","tag-us-federal-reserve","tag-zerohedge"],"_links":{"self":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/34854","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=34854"}],"version-history":[{"count":1,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/34854\/revisions"}],"predecessor-version":[{"id":34855,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/34854\/revisions\/34855"}],"wp:attachment":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=34854"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=34854"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=34854"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}