Manipulating Money

The United States wants a weaker dollar so that absolute home prices don't go down any farther. Unfortunately, this weak currency, "deprives millions of the purchasing power of their savings." However, China desires to be in control of when and when not to allow the yuan to appreciate. Once China realizes that it is in their interest to have a stronger yuan, China will adjust. Meanwhile the United States and China are playing currency chicken.

http://www.atimes.com/atimes/China_Business/KA29Cb01.html