China finds new ways to buy U.S. debt

The Globe and Mail ^ | 02/19/10 | BRIAN MILNER

[TigerLikesRooster]

China finds new ways to buy U.S. debt

Anonymous purchases made through unconventional channels would allow Chinese to remain biggest holders of American bonds

BRIAN MILNER

From Friday's Globe and Mail Published on Friday, Feb. 19, 2010 12:00AM EST Last updated on Saturday, Feb. 20, 2010 3:12AM EST

Despite a sharp reduction in its official stash of U.S. Treasuries, China is far from bailing on the world's safest and deepest market, analysts say.

Indeed, China may be adding to its vast hoard through secret purchases made through foreign banks. Such transactions do not show up in the U.S. data.

Such anonymous deals through intermediaries are common in the bond world, but they make it difficult to accurately assess whether a government is changing its core strategy, analysts say.

"We do not believe that the Chinese are dumping Treasuries," Arthur Kroeber, managing director of GaveKal Dragonomics, a Beijing research firm, told Associated Press. "What they are doing is diversifying the channels through which they make these purchases so that it is much more difficult for the market to ascertain what they are doing."

The U.S. Treasury identifies only the country of origin of the direct purchaser of its securities. So any bonds acquired through London, for example, would show up as a sale to Britain.

[TigerLikesRooster]

P!

[Cringing Negativism Network]

China is attempting, to make it more difficult for America to renouce Chinese held debt.

We enter the: “Year of the Trade War”

[Diana in Wisconsin]

So, we’re saved? *SMIRK*

[Vaquero]

Spongebob….Mao

[jiggyboy]

A confusing narrative. “In directly measurable ways, China has reduced its U.S. debt, also, China might be buying U.S. debt in sneaky ways, also, in directly measurable ways, they are indeed buying more U.S. debt.”

[Centurion2000]

Indeed, China may be adding to its vast hoard through secret purchases made through foreign banks. Such transactions do not show up in the U.S. data.

They sure as hell do show up in the data. Does anyone REALLY think that Carribbean banks can actually hold 200 billion dollars in Treasuries when England (~140B) and Russia (~124B) hold less?

This article sounds like smoke and mirrors to try and cover up the monetization of our debt.

[proxy_user]

If China does not buy US debt, their currency will rise against the dollar. Then they won’t be able to sell their products in such large volumes.

[LomanBill]

Bon Appetit!

 

Scarlet Memorial: Tales Of Cannibalism In Modern China

~ Zheng Yi (Author),

http://www.amazon.com/Scarlet-Memorial-Tales-Cannibalism-Modern/dp/081332615X

 

Eat more [dollars,] Chinese!

[Wiz]

We need to make it illegal to hand over debt to another unknown without alerting the government.

[LomanBill]

[If China does not buy US debt, their currency will rise against the dollar. Then they won’t be able to sell their products in such large volumes.]

Exactly and...

China has 10 persons to feed per hectare of arable land
—more than twice the world average of 4.4 persons per
hectare....

 

 

....In contrast with China, the United States is richly
endowed with farmland. While China’s population is
more than four times that of the United States, the
United States has about one-third more cropland than
China. The United States and other land-abundant
countries can potentially relieve the stress on China’s
limited natural resource base by supplying China with
land-intensive food and feed grains, oilseeds, and
meats and poultry.

http://www.ers.usda.gov/publications/aib775/aib775e.pdf

 

 

Potentially....

 

But this works both ways:

 

 

 

Equitable Commerce - not a relationship where:   "COMMERCE BETWEEN MASTER AND SLAVE IS DESPOTISM" - That is a fundamental difference between American ideals and the mercantilism of The British Empire; and a fundamental difference that Communist-Chinese-"Capitalism"-enabling Quisling free traitors seem to have conveniently forgotten.