Wen Voices Concern Over China's U.S. Treasurys

For years the U.S. has pressed China to change the way it runs its economy, such as by opening up its financial system. But in the last year China's government has been increasingly vocal about what it sees as U.S. economic mismanagement. And as the U.S. government's largest creditor, it has become more assertive in trying to ensure its interests receive a hearing.

"We have lent a huge amount of money to the U.S., so of course we are concerned about the safety of our assets. Frankly speaking, I do have some worries," Mr. Wen said in response to a question. He did not offer specific suggestions on economic policy to the U.S. government, but called on it to "maintain its credibility, honor its commitments and guarantee the security of Chinese assets."

Uh oh. Remember all that debt we've been so alarmed about? We owe a bunch of it to China and they're getting nervous about us repaying it. We owe so much to China that the Fed may find itself in the awkward position of having to ask their approval before implementing policy. Since Congress won't rein in the Fed, maybe its best that someone is keeping an eye on it.