The two largest foreign holders of the US debt, China and Japan, reduced their holdings of US government bonds in November compared to October. While many are trying to say see, they are dumping US bonds, China reduced its holdings by 1% or $ 12.6 billion to $ 1,176.6 trillion and Japan reduced its positions by $10 billion to […]

The Chinese rating agency Dagong downgraded the US creditworthiness over the tax reform. What is really a total joke is why anyone bothers to rank any government debt whatsoever when in fact there is not a single government in the world who ever intends to pay off their debt. So why does anybody rate government […]

China has responded to global competition that is exploding in the wake of the Trump Tax Reform. While domestic news in the USA continues to bash the tax reform on class warfare, the rest of the world is trying to come to terms with what Trump has set in motion. China’s response is to allow […]

QUESTION: Mr. Armstrong; What about the Chinese housing bubble. Why has this been so different in many ways? IX ANSWER: The primary difference is the simple fact that Chinese cannot take their money out of the country under the capital controls. Consequently, the property market has become their bank account. They have been moving from […]

QUESTION: Marty I just finished watching “The Forecaster” and I am impressed that you survived what the government did to you. As a former Green Beret from back in the day, I can appreciate what you endured more than most, my hats off to you. All I can add is I hope to hell that no […]

China keeps moving gradually to open up their economy to international forces. The People’s Republic of China has expanded the trade in gold in yuan and thus the internationalization of the national currency is moving closer. Gold merchants from the industrial metropolis of Shenzhen have been trading their yuan gold at the Hong Kong Stock Exchange […]

China is moving rapidly to advance and take the lead in technology from the United States and they will accomplish that in the years ahead. China is moving very fast on every front. China is moving faster on quantum communications and computing and they are embracing real Artificial Intelligence that is being ignored by the powers that […]

  QUESTION: I am sure you are aware that the Chinese position just adopted was to create AI systems that would dominate the industry and surpass that lead of the USA. What is your view of how this will unfold? ANSWER: AI can be used in so many fields and it will be much better […]

According to local sources in the Middle East, financial difficulties in Saudi Arabia may see a cash injection coming for its oil industry – Aramco. The Saudis are considering a private placement of its shares instead of a traditional float of shares on the stock exchange. The buyer is of course China. Saudi Aramco has been considering the international […]

QUESTION: I read a credible theory recently about China taking over US as the top superpower via economic pressures. Namely by replacing the US dollar with the Yuan as the standard currency for international trade. This shift is (supposedly) being enacted through 1) increased control over Developing countries through international lending from the New Development […]