There is mounting evidence that China's central bank is undertaking the process of divesting itself of longer-dated US Treasuries in favor of shorter-dated ones. Full Story »
Posted by Dwight Rousu
The facts and arguments are impressive. The implications are pretty scary, and mirror what the Czech head of EU is saying. However, because it's focused on China it doesn't go into what the US can do to mitigate the 'Treasuries bubble' - since it's caused by attempts to re-charge the American economy. It also doesn't go into the implications of China investing in 'resources', some of which are getting scarce, and what this investment might do to resource prices worldwide.
Oy!