Bloomberg has an interesting article: Asia Needs Deal to Prevent Panic Selling of U.S. Debt, Yu Says
Japan, China and other holders of U.S. government debt must quickly reach an agreement to prevent panic sales leading to a global financial collapse, said Yu Yongding, a former adviser to the Chinese central bank.
"We are in the same boat, we must cooperate," Yu said in an interview in Beijing on Sept. 23. "If there's no selling in a panicked way, then China willingly can continue to provide our financial support by continuing to hold U.S. assets."
Bush took the US to war on loans from Asia, so he could give tax breaks to the wealthy. Bernacke has brought the dollar to its knees by printing money, and the Asians are a hair trigger away from dumping over a trillion US dollars, which would render the dollar literally worthless.
The bailout is tied up with not just Bush cronies robbing the country dry through deregulation, but by borrowing from Asia to fight wars. Asians aren't too happy holding our IOU's.
Why were Fannie and Freddie bailed out? Because our Chinese masters had to be bailed out. The Chinese accepted Fannie/Freddie bonds as collateral for their war loans. And so recall: Paulson made China bond holders whole for their Fannie/Freddie holdings while all the other shareholders were wiped out.
And why was Lehman Brothers not bailed out? Because the Chinese didn't own any, only Chavez of Venezuela had a few billion tied up there. No reason to bail him out.
What is the urgency for this bailout? Good question, but one possible answer is China.
And let's not forget that we're printing money faster than ever: US banks and money managers are borrowing record $188 billion PER DAY from Fed.
This is what happened when Bush and the GOP Congress set up the "War on Terror"™ and attacked Iraq on borrowed Asian coin -- while giving the super-rich a tax cut. Bush sacrificed our sovereignty to further enrich his friends. It's all connected.
More Asia connections are discussed is in this recent 7-minute interview with US financial guru and colorful HuffPost blogger, Max Keiser. This was broadcast on Al Jazeera and Keiser gets a little outrageous in some of his comparisons and conspiracy ranting, as always, but the basic monetary message jibes pretty well with today's Bloomberg piece on the Asian angle (this is from four days ago).
Plus it's very entertaining!