Likely market correction

China set up 3 yuan hubs in the top financial countries namely Singapore, Hong Kong and London as it reduces its US treasuries holdings. This happened chronologically after Obama administration warned the Congress of a possible US default on its debts in October, China reduced its holdings by $11.2 billion to $1.268 trillion in August.

Source: http://www.straitstimes.com/the-big-story/asia-report/china/story/more-offshore-yuan-hubs-no-fears-singapore-20131024

Source: http://www.globaltimes.cn/content/819847.shtml#.UmzZp5SkzaE

NYSE hit a 5 year high despite risks of a US default on debts and no signs of tapering of US monthly bond purchase. 

Source: Bloomberg

US markets are in their 5 year high and with the debts problem still unsolved. The risks of a correction are present but still not visible in the short term. 

Singapore markets might be affected by the correction if investors panic sell stocks.