I don't believe it is about financing deficits that drives the dollar. It is about real money flow (from domestic sources on said tax holiday, foreign direct investment, and hot money on yield differential). This can be self-feeding and would be very dollar positive despite deficits. As to trade war; the US wins a trade war against competitor given its local demand being so relatively strong. And the dollar likely rallies in a trade war on safe haven flow worldwide into US Treasuries. Thank you Moon Kil Woong.

Gary. Great question. I do not know the answer but will see if I can find out. I suspect many of these bonds are for solid companies, so can't be considered junk just because designated EM. But much of the credit is to once solid companies, commodity-based, which are suffering cash flow problems. And I guess the larger point being much of this flow from international investors should be designated "hot money," instead of "foreign direct investment." Meaning if there is trouble, it will exist quickly. Thanks Gary. Regards, Jack