China Shedding Debt

According to a recent CNN post the Chinese is no longer the biggest holder of American debt. After purging themselves of over $34.2bn U.S. treasuries in December Japan now holds that distinction. This shift in policy is very sensitive because of the trade relationship between the U.S. and China, and the fact that a decision like this negatively affects an already weak U.S dollar has raised some eye brows. Other countries such as Japan, and the UK are expected to pick up the slack. Many economists suggest that U.S treasuries are still solid worldwide and there should be no long term affect.

What is the relationship between the U.S., and China, and how much longer will we be the big brother in this situation. I am realizing recently that more and more Americans are intrigued by China, chirping at the opportunity to visit a nation that is just recently maturing. Are the Chinese still as eager to explore the U.S. or are they content at staying home and prospering in a market that IS growing right in front of their eyes. This issue will be one of extreme importance while we are in China. How has the recent economic issue affected the confidence other nations have in our economy, and even if they have a lesser view of America, can a country like China afford to even part tides a little with the amount of product that are imported into U.S. from China.