by Tyler Durden
Tuesday, Mar 16, 2021 - 05:45 PM
For all of the past decade, it was the US that was fiscally constrained and China had to serve as the world s debt-fueled growth dynamo (it s also why we said that China s credit impulse had a far greater impact on the global economy and assets prices than even the Fed s QE whose size and scope is tiny in comparison to the trillions in new loans created by China every year). Well,
welcome to upside down 2021 when the script has been flipped, and with China jawboning its desire to slowdown its massive credit injection machine (and even, gasp, deleverage from its nosebleed debt levels, a consequence of its post-Covid response) it is now the US - and Biden s gargantuan fiscal stimulus - that Beijing is freaking out about (as we noted recently in Up Until Now It’s Been All China: Now It’s Going To Be All The US )