China's Role as Creditor to the World Is Fading

China’s much-criticized trade surpluses are declining in a shift that’ll see less of its excess savings recycled into global capital markets.

For emerging markets already struggling to cope with rising U.S. interest rates, that prospect poses an additional set of dangers. A prolonged slide in China’s purchasing firepower would put upward pressure on global yields after a decade of binge-borrowing left the world’s emerging markets with a hangover.