It is time for America’s preeminent financial institutions and its most highly regarded investors to tell the truth about China. The wheels are coming off in China, economically, politically, and socially. America needs to decouple completely from President Xi Jinping’s regime.
Private capital is fleeing China. Chinese millionaires are buying international assets. Many are leaving the country permanently and relocating to places such as Singapore and America. Chinese businesses and consumers are also buying gold “like there is no tomorrow.” The most affluent don’t want their hard-earned money subject to the whim of all-knowing Xi.
But deflation has also gripped China. Prices across the economy have been falling for six consecutive quarters by an average of 0.8%. Consumer prices are flat, with 40% of typical consumption items declining annually. When deflation…
