china treasuries

China cancels America's credit card

The public didn't pay much attention to this comment by Congressman Mark Kirk last week, but they should have.

"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," he said.

It's hard to believe when you consider that China has bought over $1 Trillion of our debt, and the largest single-year purchase was 2008.

But now it appears that Mark Kirk knew what he was talking about.

"There will come a time where the lack of Chinese participation may have a significant impact," Kirk said.