Analysis: US issues financial warfare warnings against China, Russia

By JOSEPH FITSANAKIS| intelNews.org |
It turns out that Admiral Dennis Blair wasn’t kidding when he said last week that “the primary near-term security concern of the United States is the global economic crisis and its geopolitical implications”. Barack Obama’s Director of National Intelligence warned during his annual threat assessment that “the longer it takes for the recovery to begin, the greater the likelihood of serious damage to US strategic interests”. The continuing credit vulnerability of the US economy is central to these fears, and it appears to be forcing the rapid rise of microeconomic concerns to the top of the US intelligence community’s threat list. A major aspect of these concerns centers on the hard-to-ignore fact that China currently holds close to $1 trillion-worth of US monetary debt. Trade experts suggest that, should China suddenly decide to offer these securities for sale, “the US dollar would tank”. The chances of this happening are slim -the Chinese economy would also suffer from such a move- but US intelligence agencies are taking no chances. On February 19, the office of the Director of National Intelligence issued a public warning to the Chinese government that it would consider any attempts to sell US Treasury bonds an act of “financial warfare”. Keep reading →