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Strategies & Market Trends : The coming US dollar crisis -- Ignore unavailable to you. Want to Upgrade?

To: RockyBalboa who wrote (17861)	2/22/2009 2:15:57 PM
From: RJA_	1 Recommendation Read Replies (2) \| Respond to of 71456

This kind of thing will further push the Chinese for ways to get out. As has been pointed out, they are doing allot of buying with those dollars of raw materials and producers they will need. The original purchases were to recycle the dollars by generated from their major foreign market while building an export economy, creating physical plant, and destroying any external competition. Once the US market goes (or is greatly reduced by recession/depression): 1. Their need for the US is greatly reduced and 2. Why hold the potentially bad paper? They are looking around for alternatives and finding them.

To: RockyBalboa who wrote (17861)	2/22/2009 4:53:01 PM
From: Tommaso	Read Replies (1) \| Respond to of 71456

Table of foreign holdings of U. S. debt: treas.gov

To: RockyBalboa who wrote (17861)	2/22/2009 5:09:04 PM
From: Tommaso	1 Recommendation Read Replies (2) \| Respond to of 71456

"U.S. government bonds returned 14 percent last year including price gains and reinvested interest, the most since rallying 18.5 percent in 1995, according to indexes compiled by Merrill Lynch & Co. Concern that the flood of bonds would overwhelm demand caused Treasuries to lose 3.08 percent in January, the steepest drop in almost five years, Merrill data show." (from Bloomberg) Wonder what the Chinese will think when they LOSE 20% or more in a year on their treasuries.