China's ultimatum to the US, "Stop, that's enough. Stop creating trillions of new inflationary dollars. We're worried sick about the $754 billion we own in US Treasuries. "So stop it now! No more inflation!"
If the US stops inflating, the overall deflationary trends will throw the US into a deeper recession or even a depression. China warns; "No more inflation." Suddenly, the dollar firms today, gold sells off, and bonds firmed. China "orders," the US to stop inflating, yet if the Fed stops inflating, we face a deepening recession or a depression.
The US is on the brink. The US continues to create trillions of new dollars and our largest creditor doesn't like it. So we send young Treasury Secretary Timmie over to Beijing to "explain" to the well informed Chinese why all is fine, and the Chinese answer, "Show us the math."
As I read yesterday, when little Timmie told them their reserves were safe and that the $ was solid, they laughed in derision!
Any doubt as to the "why" behind the timing of the big cabal actions today? Any doubt they will try and keep it up as long as BO is inthe ME and Timmie is in China? The battle rages on. Where is Superman when you need him?!