By Mr. Quarter
On December 28, 2009, on this blog I posted what I hoped will be an annual predicition of events to occur over the next year. Well one has come to pass and the other appears to be happening as I write.
I predicted the collapse of the "global warming/climate change consesus" with the prediction that the consensus would be the the climate was indeed changing but that anthropogenic causes would be considered insignificant. As is outlined by Rich Lowery here, the consensus is cracking up.
Second I predicted that China would begin unloading US debt and would be come a net seller of US debt by the end of 2010. This was posted by the Associated Press this afternoon:
"WASHINGTON (AP) -- The government said Tuesday that foreign demand for U.S. Treasury securities fell by the largest amount on record in December with China reducing its holdings by $34.2 billion.
The reductions in holdings, if they continue, could force the government to make higher interest payments at a time that it is running record federal deficits.
The Treasury Department reported that foreign holdings of U.S. Treasury securities fell by $53 billion in December, surpassing the previous record of a $44.5 billion drop in April 2009.
The big drop in China's holdings meant that it lost the top spot in terms of foreign ownership of U.S. Treasuries, dropping to second place behind Japan."
So - I'm takin' a bow. The applause comes from every corner. I want to thank the Academy...