I told you so. Yes once again Little Nicky Machiavelli called it correctly and said the Chinese were ready to take down the US dollar and replace it with a new reserve currency based on the Renminbi.
What do you mean you didn’t read it here, Little Nicky has been blogging a long time and has always warned (since the days of Bush2) that the dollar was very fragile and as soon as China felt ready they could stage a coup and replace the USA as the world’s foremost economic power.
And it looks as if they are ready. The sell off of US treasury bonds spells out the message very clearly.
$48 billion may be a mouse turd sized chunk of the US paper the government of China holds but it’s a hell of a lot to sell in one chunk
Watch this Bloomberg video that explains fully the significance of the move.