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Under its “rebalancing” policy toward the emerging center of power, Washington has been strengthening regional defense alliances, its military presence and multilateral institutions on security and economic matters. China apparently feels vexed and boxed with its geostrategically vital neighbors including Myanmar being courted by the U.S. The rebalancing also appears intended to target what Western analysts call China’s “string of pearls” strategy, which could help the Asian power gain a strong maritime presence in the Indian Ocean, an area covering crucial sea lines of communication en route to the mainland.
China has sought to construct commercial ports in critical countries lining the ocean such as Pakistan, Sri Lanka and Myanmar. Despite Washington’s confidence in the policy, it faces an array of challenges such as budgetary constraints, Middle East conundrums and uncontrollably spreading terrorism across Africa, which could impede its policy efforts in the economically vibrant Asia-Pacific region. As it faces massive budget cuts to tackle its fiscal deficit, Washington has strived to capitalize on diplomatic forums such as the East Asia Summit and sought to share its security burden with regional partners. Japan is the strongest supporter in the region of America’s rebalancing while itself striving to adapt to the region’s changing security landscape. Japan has felt the growing need to counter China’s rise amid the long-festering dispute over the chain of islands in the East China Sea, which are called Senkaku in Japan and Diaoyu in China. Tension between Tokyo and Beijing has sharply increased in recent years with Japan having nationalized the islands and China sending warships and even combat aircraft to patrol what it sees as its maritime territory. Washington and Tokyo are also reportedly seeking to revise their defense guideline to increase the role of Japan’s Self-Defense Forces with an aim to bolster regional and global military cooperation in preventing disasters, combating piracy, securing maritime trade routes, and promoting democracy in the Middle East and North Africa. America’s rebalancing has put South Korea in a diplomatically difficult position as Seoul wants to maintain good relations both with Washington and Beijing. Observers say that as the allies prepare for the transfer of wartime operational control slated for December 2015, the U.S.
With South Korea and Japan remaining its staunch allies, Washington is refocusing its foreign policy on Southeast Asian countries, some of which are called “swing players,” balancing the interests of the U.S. Southeast Asian states are of great strategic importance as they stretch across the Indian and Pacific Oceans where the world’s most crucial trading and energy supply routes pass including the vulnerable and congested Strait of Malacca.
Many of the countries harbor some sense of enmity toward China due to the escalating territorial rows in the energy-rich South China Sea. From Washington’s perspective, China’s aggressive behavior in the maritime disputes could disrupt the regional “rule-based” order, which the U.S. Striving to use the 10-member Association of South East Asian Nations as a crucial tool to maintain regional stability and security, the U.S. Manila has been in an intense dispute with Beijing over the Spratly Islands in the South China Sea. But in line with their deepening economic interdependence with China, some of these countries including Australia feel that they should not damage the relationship with Beijing too significantly. Other than gaining greater military access to the region, Washington has also sought to forge the Trans-Pacific Partnership, a deal for a free-trade bloc linking the Pacific-rim states.
Given the high level of market opening envisioned by the treaty, China has virtually been excluded from the bloc. Capitalizing on its economic wealth, China has steadfastly upgraded its military capability including its increasingly sophisticated missile technology. Since setting up a related office in November 2011, the Pentagon has been fleshing out its “AirSea Battle” concept to conduct integrated aerial and naval operations across all domains including cyberspace to neutralize anti-access capabilities.
Apparently not to fall behind amid an increasing focus on air and naval operations, the U.S.
For China, securing an unimpeded, stable supply of energy and resources is of paramount importance to continue economic growth and thus strengthen public support for the political leadership. It has sought to develop safer, shorter and more cost-effective maritime and overland trade routes by strengthening relations with Indian Ocean states including Pakistan and Myanmar through economic assistance and other support programs.

The West has eyed the moves with suspicion, arguing that its creation of the so-called “string of pearls” would be a prelude to building a series of naval bases that could undermine the freedom of navigation and challenge the U.S. The vital nodes in China’s grand geopolitical strategy include Gwadar in Pakistan, Hambantota and Colombo in Sri Lanka, Chittagong in Bangladesh, and Sittawe and Kyaukpyu in Myanmar.
China argues that these sites are for commercial ports that would help reduce its heavy dependence on the risky maritime chokepoints such as the Strait of Malacca, controlled by the U.S.
China could send its warships to its overseas ports under the name of energy security, Ahn added. One of the most crucial “pearls” for China is Myanmar, which could give China direct access to the Indian Ocean and help it build an overland route to transport oil from the Middle East and Africa to its southwestern province of Yunnan.
Jang Jun-young, senior research fellow at the Center for Southeast Asian Studies at Hankuk University of Foreign Studies, said that Myanmar is unlikely to take the side of any great power to maintain its geostrategic flexibility. The deep-water port can serve as a shipping hub for oil and gas from the Middle East and Central Asia. Amid the speculation over China’s naval ambitions, some argue that the “pearls” cannot be used as military facilities given that they could be easy targets for U.S. A host of domestic and international challenges have complicated Washington’s rebalancing efforts.
Abroad, political instability in the Middle East, Iran’s nuclear ambition, frayed relations with Pakistan and spreading terrorism in Africa have also hampered the Asia-oriented policy. But the relationship seriously deteriorated following America’s incursion into Pakistan to kill Osama bin Laden in May 2011.
By By Song Sang-ho The Korea Herald (This is the 11th and last in a series of articles on the growing rivalry between the U.S. There are a few issues with such a re-balancing strategy, including a “negative convexity” effect that is similar to a short volatility collar strategy where a call and a put are both sold. The report authors, Campbell Harvey of Duke University and Nicolas Granger, Sandy Rattray and David Zou, all with Man Group or AHL Man Systematic strategies, along with Independent Douglas Greenig, provide a more succinct example. However, if markets continue to feature momentum, the price of stocks persists in its direction higher and bonds move lower in value, then the investor is experiencing the negative impacts of re-balancing.
The answer to re-balancing dilemma, the report concluded, was to overlay a momentum price strategy alongside a re-balancing strategy. Joint Chiefs of Staff Chairman Martin Dempsey on points of interest at the Demilitarized Zone dividing the two Koreas on Nov.
Its state media have denounced Washington’s policy for disturbing Beijing’s ties with neighboring states and posing direct or indirect security challenges. Some argue that as China rises as a formidable sea power, the trade-oriented ports could be turned into naval bases that could challenge maritime security for China’s potential adversaries such as the U.S. China is South Korea’s largest trading partner and wields great influence over North Korea.
Many including the Philippines and Vietnam have sought America’s help in backing them over the escalating spats. This move is based on its belief that economic interdependence would lead to greater trust among states, and regional stability and prosperity.
Particularly, it has focused on enhancing “asymmetric” capabilities for air, sea and land operations that can offset America’s military superiority.
Army and Marine Corps released their “Gaining and Maintaining Access Concept” in March last year to jointly contribute to overcoming anti-access challenges. Thus, it seeks to develop pipelines passing through Myanmar and Central Asian states, and Arctic shipping routes,” said Ahn Se-hyun, international relations professor at the University of Seoul. In November, President Obama made a historic visit to the Southeast Asian state, which the West has rewarded for its progress toward reform and democracy with the lifting of long-standing economic sanctions.

China has reportedly taken control of a commercial port in Gwadar, which is close to another chokepoint of the Hormuz Strait and the Pakistan-Indian border. At home, its budgetary difficulties have pushed the Pentagon to reorganize its security priorities.
Defense Secretary Leon Panetta speaks to troops during a visit to Regional Command South in Kandahar, Afghanistan, on Dec. Its northern region, which is about the size of France, is thought to have fallen under the control of a group of militants supposedly associated with Al-Qaida.
Under extreme price movements the downside losses of selling in the wrong direction can simply overwhelm the upside gains from the opposite end of the collar.
The group of researchers considers both the concept of mean reversion, which benefits portfolio rebalancing; and then they consider a market environment where momentum, or price persistence, remains intact. This strategy works when a market environment is in place that features mean reversion, meaning the trend in price higher in stocks reverses as does the trend lower in the price of bonds.
America’s success in the 21st century is tied to the success of Asia,” Obama’s national security advisor Tom Donilon said in his speech in November.
But it could not play the role under constraints such as the pacifist constitution and domestic anti-war sentiment,” said Nam of Inha University. Washington has sought a more balanced distribution of its military resources, which had long been concentrated on Northeast Asia. To defuse tension, China reportedly made a proposal earlier this month to jointly develop untapped oil and natural gas reserves in the disputed area. It also envisions a flexible integration of space and cyberspace operations into the traditional air-sea-land battle space. But historically, Myanmar, surrounded by big powers such as China and India, has not employed any foreign policy relying on any one big power,” he said. Interest groups that have deep trade relations with China have also been a hurdle for Washington. Pakistan’s help in stabilizing Afghanistan is also important for Washington to withdraw its soldiers by the end of 2014. Without proper state control over them, local militant groups in Somalia, Mali, Yemen and others are believed to be coordinating with Al-Qaida.
Experts say the global terror organization capitalizes on local conflicts to expand its footholds across Africa. It could also unnerve the Middle East and Europe by signaling America’s decreased attention to the regions. Marines from Okinawa to Guam and other locations, so as to enhance the marines’ strategic flexibility and reduce the geographical vulnerability stemming from their being concentrated on the Japanese island.
Washington has also sought to gain greater naval access to the country’s naval base in the western city of Perth. Japan is also considering it, but political opposition has clouded the prospect of its entry into the deal. As the likelihood a bond is called increases, the price of the bond actually may drop, is the essential concept. Moriz Professional Dark Self Tanning Mousse 200mlSienna X Gradual Glowing Self Tan 200mlSt.

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