Short Term Trading Member Forum

[golfin]

OT...China can destroy the entire world order at their whim...

http://www.ft.com/cms/s/0/f90bca10-1679-11df-bf44-00144feab49a.html?nclick_check=1

We are powerless to stop them...our debt has an average maturity of 50 months...China has virtually stopped buying our debt. This alone will jack rates from 3.5% to over 5.5% on the 10 year in 2010 according to Morgan Stanley and add $300 Billion in interest expense. What will that mean for refinancing and resetting all that commercial debt, $500 Billion in Option-Arms, $500 Billion in Alt-A loans? What will happen to real-estate values in a climbing interest rate environment?

What if they decide to liquidate any portion of their US Debt holdings?...

They are in the dominant position and we have allowed it to happen...No need to attack us militarily to achieve their position as the next reigning super-power...we are just giving ourselves to them piece by piece. We've already lost the war...it's just a matter of how China chooses to write the final chapter.