Thanks to the Minority Report for this excellent explainer

“In November 2025, something extraordinary happened in Hong Kong that most people missed entirely. China issued $4 billion worth of bonds denominated in US dollars; a routine financial transaction on its surface. But when the orders came in, they totaled $118 billion. Thirty times oversubscribed. Investors from around the world were practically trampling each other to buy Chinese government debt.

Here’s the part that should make everyone pay attention: these Chinese bonds began trading at “lower yields” than United States Treasury bonds. Read that again slowly. Global investors were accepting lower returns on Chinese debt than on American debt—despite China holding a lower credit rating (A+ versus America’s AA). In the hierarchy of global finance, this is roughly equivalent to a challenger brand outselling Coca-Cola at a higher price. It simply doesn’t happen. Until it did.”