The US find some hope in China's cluelessness

As stupid as it may sound, China is stating that they will keep on buying US Treasuries:

March 23 (Bloomberg) -- China’s top foreign-exchange official said the nation will keep buying Treasuries and endorsed the dollar’s global role, supporting the U.S. as the Obama administration increases spending to revive growth.

Treasuries form “an important element of China’s investment strategy for its foreign-currency reserves,” Hu Xiaolian, director of the State Administration of Foreign Exchange, said at a briefing in Beijing today. “We will continue this practice.”

Haven't they expressed their worries as early as last week about the solvency of the US and the short, medium and long term depreciation of the USD?

Hasn't China been requesting the US to stop their reckless policies and debasing their currency?

Wen called March 13 for the U.S. “to honor its promises and to guarantee the safety of China’s assets.”

China was “worried” about its holdings of Treasuries, he said at a press conference after the annual meeting of the legislature, the National People’s Congress.

Yu Yongding, a former adviser to the central bank, said Feb. 10 that the nation should seek guarantees that its Treasury holdings won’t be eroded by “reckless policies.”

What was the US official reply? Just a few days after the Chinese request, the Fed announced they will print $1.3 trillion more dollars. This is just twice the total holdings of the Chinese government and 10% increase in the monetary base. That's also what is called a 10% devaluation of the dollar.

Even more troublesome is this statement published on the official web of the Chinese Central Bank (reported by MarketWatch):

[...] the Chinese government said it wants a global reserve system controlled by the International Monetary Fund, The Financial Times reported. The goal is to create a global reserve currency that is divorced from individual nations and is able to "remain stable in the long run, thus removing the inherent deficiencies caused by using credit-based national currencies," Zhou Xiaochuan, governor of the People's Bank of China, was quoted by the newspaper as saying. Zhou's remarks were posted in a paper posed in English and Chinese on the country's central bank's Web site.

How clueless are the central bankers of China? A global reserve currency, divorced from individual nations and their inherent deficiencies already exists: it's called Gold. And once you have that currency, why do you want it controlled the IMF, which is as foolish, reckless and Keynesian as the Fed? WHY? The solution exists, it's cost effective, it's nobody's liability, it's just to buy gold and keep it in their vaults at the central bank.

The good news for the US is that they have some complete fools on the other side of their trades, so they can just drive the Chinese bankrupt with their printing presses and maybe get themselves some oxygen while looking for their next target...