It’s Official: China Will Be Dumping US Dollars

“In case you missed it, earlier this week China announced that its foreign currency reserves are excessive and that they need to return to “reasonable” levels. In politician speak, this is a clear, “we are sick of the US Dollar and will be taking steps to lower our holdings.” Remember, the US Dollar is China’s largest single holding. And China has already begun dumping Treasuries (US Debt).” Uh-oh. That has real potential to cause serious, serious economic problems. If you’re not in basic prep mode, you should be.