Posted on 05/03/2009 4:02:42 PM PDT by george76
China, wary of the troubled US economy, has already "canceled America's credit card" by cutting down purchases of debt, a US congressman said Thursday.
China has the world's largest foreign reserves, believed to be mostly in dollars, along with around 800 billion dollars in US Treasury bonds, more than any other country.
Representative Mark Kirk, a member of the House Appropriations Committee and co-chair of a group of lawmakers promoting relations with Beijing, said China had "very legitimate" concerns about its investments.
"It would appear, quietly and with deference and politeness, that China has canceled America's credit card," Kirk told the Committee of 100, a Chinese-American group.
"I'm not sure too many people on Capitol Hill realize that this is now happening," .
(Excerpt) Read more at news.yahoo.com ...
We knew it was gonna happen.
So will we see dow 4500 in the morning ?
Cancel Chinese imports.
Bring the jobs back home.
This will certainly have an effect on the Dow. A 300 point drop wouldn’t be a shock at all. Gold and Silver are looking pretty good right now.
But fear not! We will simply print all of the money that we need!
I don’t think the Chinese cancelled the credit card yet, but they cut the line of credit and probably raised the fees and charges for using it
Apparently Hillary’s diplomatic overtures to China went about as well as every other program she’s tried to manage
so is lead
“Kirk said he was the first member of Congress to tour the Bureau of Public Debt, which trades bonds, and was alarmed at how much debt was being bought by the US Federal Reserve due to absence of foreign investors.”
If you’ve been following our “bizzaro” market...you’ll know that bad news makes the market go up
I guess we are going to find out, good and hard...
Why is this China’s fault? its Washington’s fault.
I didn’t say whose fault it is.
I suggested a response.
The first thing you should see is the interest rate on Treasury bills, bonds, and notes go up.
THEN the stock market will go down, because the cost of borrowing will be higher for private business as well.
Correction, that is Obama’s Credit card being Cancelled.
Americans do NOT want to spend Trillions on Building a Bigger Nanny Government....A Obama Government that uses “Flu” to Scare Americans, and a Government that uses “Scare force One” to fly around New York scaring New Yorkers, and wants a 3.5 Trillion dollar Deficit on Credit.
Americans would cancel that Credit Card if our Representatives would ask.....Thanks, China.
Agree
John Maynard Keynes has lead us off
the Cliff of Debt
“If you’ve been following our “bizzaro” market...you’ll know that bad news makes the market go up”
Was like that under Clinton also. My husband said back then, Then markets climb a wall of worry.
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