I don't like the bond at current level; not after Ben's cut; short 2 and 5. I don't think we are going into recession; but maybe stagflation; but China is booming and pug its currency with USD; the better side of story; they need more USD to purchase commodities from now on. 5 year should be at least 5%. China should dump US treasury slowly and push the yield up a bit.
The difference between Chinese Bank loan and Foreign loan are getting bigger after Ben's cut; it is unhealthy to China too; people can get cheaper USD and put back into China; seriously damp Chinese efforts on curtail its inflations. China is facing the dilemma created by Fed. What a game.