Did I call it or what???
Back in April when I posted about the G-20 meeting on global finances, I said that China will start defaulting on their loans, causes our monetary system to crash...read here: http://amberquest.livejournal.com/177744.html
China Grows More Picky About Debt
You can read the entire article, but here is a snipet:
http://tinyurl.com/omg9a7
Financial statistics released by both countries in recent days show that China paradoxically stepped up its lending to the American government over the winter even as it virtually stopped putting fresh money into dollars.
This combination is possible because China has been exchanging one dollar-denominated asset for another - selling the debt of government-sponsored enterprises like Fannie Mae and Freddie Mac in a hurry to buy Treasuries. While this has been clear for months, new data shows that China is also trading long-term Treasuries for short-term notes, highlighting Beijing’s concerns that inflation will erode the dollar’s value in the long run as America amasses record debt.
*shakes head*
China Grows More Picky About Debt
You can read the entire article, but here is a snipet:
http://tinyurl.com/omg9a7
Financial statistics released by both countries in recent days show that China paradoxically stepped up its lending to the American government over the winter even as it virtually stopped putting fresh money into dollars.
This combination is possible because China has been exchanging one dollar-denominated asset for another - selling the debt of government-sponsored enterprises like Fannie Mae and Freddie Mac in a hurry to buy Treasuries. While this has been clear for months, new data shows that China is also trading long-term Treasuries for short-term notes, highlighting Beijing’s concerns that inflation will erode the dollar’s value in the long run as America amasses record debt.
*shakes head*