Better start watching China: China to Stop Stockpiling U.S. Dollars
Over the last couple of weeks, China seems to be further engaging in an underground war against the American Public. From announcing they have strategic plans on nuking American cities, to convincing our military leaders that it was a good idea to allow them to train on U.S. Soil, it seems China is trying to assert themselves as a military powerhouse.
Now China has just dealt another blow, by announcing they will no longer be accumulating foreign-exchange reserves – something that could send shock waves through our economy. Of China’s $3.6 trillion in foreign exchange reserves, almost 60 percent is estimated to be held in dollar-denominated assets.
For years, China has been actively buying up as much American debt as they can get their hands on, while at the same time trying to artificially prop up the U.S. Dollar so they can make Chinese products less expensive in the U.S. marketplace. But now China has announced a huge change in policy; they will no longer be stockpiling U.S. dollars.
Is China Preparing To Declare Financial War Against America?
Last month, the government-run media in China released an opinion essay, that called “ for the befuddled world to start considering building a de-Americanized world.” In my opinion, China declared financial war on America long ago – sadly our leaders were to dumb, or too greedy to care.
China is a biggest single holder of Treasury debt, owning $1.268 trillion as of August of this year, a fact that has some analysts very worried about the prospects of China cutting its holdings of U.S. government debt.
With our country over $17 trillion in debt, America’s economy is an absolute disaster. By 2016, thanks to years of allowing China to sell their crappy products in America, China is expected to surpass the U.S. economy to become the world’s biggest economy.
Last year, China surpassed the U.S. to become the world’s biggest trading nation. In 2012, U.S. exports and imports totaled $3.82 trillion, China reported $3.87 trillion in trades.
I don’t think most Americans realize how dependent this country has become on China. Our entire way of life has come to depend on countries like China, and with one pull of the trigger they could literally crash our economy overnight.