This past week we saw the release of numbers that show which country holds the most US treasuries. Too some surprise it was Japan not China. The question to ask Is China dumping US debt or is Japan buying? According to a Bloomberg article China sold 34 billion dollars worth of treasuries in Dec 09 and has not purchased any in the last 8 months. It appears the China has lost its lust for US debt and may seek to invest elsewhere. Does this make sense if the US is their biggest exporter?
Some would say these two countries need each other to survive while other think China could begin selling its products to its own people. Other news items shows China putting massive amounts of money into gold and silver.
Here is a video from Chinese news station pitching silver bars.
