The Saudis can threaten to sell off billions of US assets, but they could take a serious loss if they do. I heard they were having financial problems. If so, a big sell off wont help.
Too, after selling off what I would assume are good assets generating a reasonable or better return on investment, where will they invest these billions to get a comparable, equally safe ROI? A solid portfolio is hard to replace. My guess is that there are not a lot of highly profitable, safe investment opportunities in the world just waiting for investment at rock bottom prices.
Perhaps they can invest in Venezuela or Cuba. Zimbabwe is begging for investment. There is always Communist China. Maybe buy up a bunch of EU windmills or any investment in Russia.
I would say this....the first billion or two that they try to quickly sell...it might go for 100-percent of the value. Then it’ll get quiet for an hour or two, and I think the next round of sales will drop to 90-percent value. After an hour or two as you get close to 10 billion sold.....then it’ll drop in value drastically....probably 50-percent value.
They might be able to some value out of a quarter of the 750 billion....the rest will all go for half value. It might hurt the US for several months...but for the Saudis, it’ll destroy their economy, trigger some crisis where the King will be ‘let go’, and cause instability in the region for years.