China has reduced its holdings in US Treasury from 74% in 2006 to 54% currently 9 of its managed reserves0, and of course the unwinding process was widely flagged in the media since the last two years. China sensitivelyy or thruu professional fund managers advise it now depends on, unloaded its “burden” of US Treasuries without creating a obvious linkage between the unwinding and the downtick in US treasuries as depressed yields sneak onto Us Economic discussions raising a spectre or illusion of a long range depression/deflation stagflation scenario that has hit Japan more than the Tsunamis in the last two-three decades. Japan’s strong yen is an anachronism that further eats into the country’s capacity for Economic revival and frankly the US economic management is currently not hostage from excessive domestic debt, given US status as a dominant reserve currency which the global trade was unable to shake and does not want to take away given the central Banks and the Commodities that rely on the currency. China’s yuan trade is a growth of its own Ecosystem and thus its own reliance on the Yuan trade in its rising Global trade footprint
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