This article reports on PBOC's selling of US bonds and buying of Japanese bonds:

http://asia.nikkei.com/Politics-Econ...vernment-bonds

They analyzed the latest TIC report - I think.

I post this here because I draw the following from it:
  • PBOC seems to act as a trader -not as an investor (I saw posts on blogs about the "PBOC-Trader" in the past)
  • PBOC sold into bond strength from January on.
  • PBOC chooses JGBs as alternative

a contradicting argument is:
  • PBOC simply has to reduce their reserve holdings, because of the slowdown at home.