Finally, there has been a report that makes sense in this move to socialize the U.S. financial system. The South China Morning Post has reported that Chinese regulators told the country's banks to halt interbank lending to U.S. financial institutions to stem losses from the financial crisis. The banks can continue lending to institutions in other countries -- but not to those in the U.S., according to the report. As my posts have revealed, I have suspected that America's emergency measures have been caused by pressure from foreign debt holders. The government keeps wailing that lending is frozen, but statistics indicate that commercial lending has actually been rising. There is even money available for mortgages in many circumstances. For years, informed economists have warned about foreign countries holding half our government debt. Other economists pooh-poohed the concern; those governments don't want the dollar to decline, went the argument. But those governments were holding a hammer. If the Chinese report is true, the informed economists would seem to have known what they were talking about. This Chinese report seems credible, and a plausible explanation for the sudden warnings of a deep recession (or McCain/Palin silly warnings of an immediate depression) from politicians who normally try to sweet-talk the economy upward in their lies to the voters.