SEOUL, South Korea – U.S. Treasury Secretary Henry Paulson today played down concerns about the global sell-off that wiped out $3.3 trillion in equity in six days, Bloomberg News reports.
“We have solid growth, low inflation and high levels of liquidity,” he told reporters after meeting with Finance Minister Kwon Okyu.
The finance ministry said Paulson told Kwon the U.S. economy is on a path to stable growth, despite the housing slump, Bloomberg reported. The two agreed that “despite the recent volatility in the international stocks and currency markets,” the global economy is sound and growing, the ministry said.
Paulson is to visit Beijing today and Shanghai tomorrow, when he is expected to pressure China to free its capital markets.
