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And the debt crisis has led to lower yields on Treasury securities, making borrowing by the United States government cheaper.
China holds more than $1 trillion in United States Treasury securities, making it highly sensitive to any developments that could lower the value of those holdings.
It has done this in two ways: by increasing complexity, and by forging tighter links between various markets and securities, making them dangerously interdependent.
The uncertainty about America goes straight to China's pockets: it holds more than $1.1 trillion in United States Treasury securities, making it the country's largest foreign creditor.
Indeed it is conceivable that a bank could be recapitalised over a weekend.The banks worry there are no natural buyers for such securities, making them expensive to issue.
Those contracts, called credit default swaps, acted as a type of insurance on the debt securities, making them more attractive to buyers.
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They are snapping up billions of dollars in securities made up of subprime auto loans.
It also stipulated that a company offering securities make full public disclosure of all relevant information.
Debt securities make up 33% of world capital markets but only 3% in the Middle East.
Collateralized debt obligations are securities made from pools of loans and other forms of debt.
At the same time, the market for securities made up of bundles of auto loans is heating up.
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