[darkarmani]

> China slowly increases their currency peg to be closer to the value of the dollar -- The exporters slowly have a higher profit, and thus the people a higher standard of living

Exporters can't export if the price of their goods increase. It's not that easy to unroll their current scheme.

> They could just buy 1T in oil, copper, or other dollar based commodities. There are plenty of options besides treasuries.

How does one transport and store trillions of dollars of commodities (someone has to store them even if they are ETFs)? Besides, these commodities have a lot more risk compared to t-bonds. If the were able to get the same security as t-bonds in something else, you know they'd be buying those as well.