It is not just China that has been experiencing massive increases in money supply propelled by inward flows of money. Most of Southeast Asia is seeing the same phenomenon. But what happens when the music stops? There now seems little likelihood that the US Federal Reserve will go for another round of so-called quantitative easing – buying US government bonds. And though US Federal Reserve Chairman Ben Bernanke seems set on keeping interest rates well below inflation to help bail out banks and mortgaged households, the threat of downgrading of US debt just issued by S&P may force caution and push up rates.