Belmont Club

By Richard Fernandez

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The circle closes

October 6, 2008 - 3:10 pm - by Richard Fernandez
Roy Lofquist
2008-10-06 19:08:51

Dear Sirs,

The Chinese, and others, don’t hold dollars – they hold Treasury Bills. These have a maturity date. Until that date they have no claim. They can sell them on the market at whatever they can get – they can buy all the wheat in Russia and the Russians will have a bunch of paper. The total portfolio of US debt is closely monitored and there is no window of vulnerability to either chance or purposeful mischief.

Regards,
Roy