China is all the rage for the next few weeks as the Olympics are going on. Many are calling this China’s time to showcase itself to the world. I have a lot of friends and analysts who are big China bulls, believing that the next few years will see continued high growth in China, although less than the above 10% of the past few years.

The British pound fell to a 22-month low, after the Bank of England (BOE) offered a gloomy outlook for the U.K. economy and the chance of an interest rate cut increased.

After boosting its benchmark interest rate by a quarter point on July 3, the European Central Bank (ECB) may be forced to reverse course and cut rates sooner than it planned, as slow growth is beginning to trump concerns about inflation.

Existing and future generations will pay a hefty price for the government’s financial bailouts, says Eric Roseman, investment director at The Sovereign Society.

Yes, the rescue of Bear Stearns (NYSE:BSC) in March, and Fannie Mae (NYSE:FNM) and Freddie Mac (NYSE:FRE) in July, averted a major short-term crisis. But the long-term costs of inflation and a worthless dollar will be more painful.

Eric says the value of paper currency will be worth nothing when the inflationary storm hits…

The housing bill is a drastic act to cover up the economic mistakes of the last five years, says Bill Bonner in The Daily Reckoning.

Bill has previously said that the U.S. government’s over-active dollar printing press is the cause of today’s market woes. Now this $300 billion ‘miracle’ bail out will require the Fed to inflate the money supply further.

It’s late autumn, 1976. Britain is facing yet another sterling crisis. In less than two years the pound has fallen from $2.40 to $1.60. Investors have no faith in the British economy, or the government that runs it. The Budget is a mess — vital public spending will have to be cut.

“Everything’s just so expensive!” This was from my South African friend, Alex, who was working out her household bills yesterday. She’s been in London for less than a year, and is still adjusting.

The Bureau of Labor Statistics (BLS) has reported that the Producer Price Index (PPI) for finished goods increased 1.8 percent in June. But these are “seasonally adjusted” figures, says The Mogambo Guru. The un-adjusted figures – the raw data – tells a different story. They reveal prices jumped 9.2 percent for the same period…

A double-header Casey’s Charts compares inflationary pressures in the U.S. and Canada. Using government numbers – cooked as they be – it’s still evident that inflationary pressures have reached highs not seen in the last 25 years.

British readers may see parallels between the collapse of US lender IndyMac (NYSE:IMB) and Britain’s Northern Rock (PINK:NHRKF), which failed last September.

Commodity Trend Alert editor Eric Roseman is issuing a stark warning: Your bank could be next.

If you have money in the US banking system, he recommends you put it instead in Treasury bills or exchange traded funds (ETFs) that invest in short-term Treasury securities like SHV or SHY.