And by keeping the yuan artificially low, it is stymying global rebalancing.

A process of global rebalancing may also be taking place.

A diplomat from another G20 nation said Canada wanted the June summit to agree on the need for a global rebalancing.

Short of a miraculous new technology to soak up the savings glut, a global rebalancing of production and consumption will be necessary.

While the biggest structural risk right now is global rebalancing, especially between China and the U.S., there is another important threat from China: cyberwars.