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1 posted on 05/20/2024 11:11:26 AM PDT by navysealdad
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To: navysealdad

Not an economist.
Is China selling them in relatively “small” batches to ot tank the price they get for them?
If they are selling, who is continuing to buy so that the US may prop up its debt spending each day?
Or is no one buying now and we are just printing it without buyers backing it up?


2 posted on 05/20/2024 11:15:05 AM PDT by desertsolitaire (Perhaps the Great Ape Lawgiver in the series Planet of the Apes was correct in his view of humans?)
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To: navysealdad
China sold a record amount of U.S. government bonds in the first quarter of 2024, according to U.S. Treasury data, continuing what many economists believe is a strategic shift away from dollar assets.

These so-called "economists" need to learn something about economics.

China and Japan are not selling tons of US Treasuries because they want to dump the dollar. Not even close.

They're selling them because their own currencies are such a wreck that they need to artificially prop them up.

How do they do this?

By selling US Treasuries to get US dollars - then using those dollars to buy their own respective currencies.

It's called currency intervention - and it's done by countries who are in economic desperation - not countries seeking to separate from the dollar into other trade mechanisms.

People who don't understand these basic economics are people who also shouldn't be listened to. Either they just don't understand - or they have something else they're attempting to sell - like gold and silver.

3 posted on 05/20/2024 11:15:48 AM PDT by politicket
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To: navysealdad

A Soros approved strategy.


6 posted on 05/20/2024 11:30:46 AM PDT by outofsalt (If history teaches us anything, it's that history rarely teaches anything.)
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To: navysealdad

This is not hurting the U.S. if they are selling them then someone else is buying them. I suppose it may be a bigger deal if they let them mature and don’t continuously roll them over. If they sell a treasury that matures in 2030 at 3% interest then the obligation to the US hasn’t changed which means the debt is just as servicable as it was yesterday. The real problem is if the demand for the treasurys statys to decrease. Then they’ll have to increase interest to draw in more demand and that may be a problem because the obligation is increasing. China not renewing bonds or selling them potentially indicates an unwillingness to buy in the future and if that directly correlates to overall demand then there is a story. I think the downgrading of US bonds is a bigger tell.


7 posted on 05/20/2024 11:31:33 AM PDT by wiseprince (Me)
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To: navysealdad

China has been liquidating Treasuries for some time, mainly to subsidize its own problems.


12 posted on 05/20/2024 11:47:17 AM PDT by pierrem15 ("Massacrez-les, car le seigneur connait les siens" )
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To: navysealdad

Bring back the gold standard. You can’t have fiat money and democracy. When the govt can print money, that’s what they do to buy voters and the media and the courts.


13 posted on 05/20/2024 11:50:32 AM PDT by Diversity Is Our Weakness
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To: navysealdad
The Fed is doing the same thing.

How will the Federal Reserve decide when to end “quantitative tightening”?

16 posted on 05/20/2024 12:06:46 PM PDT by Repealthe17thAmendment
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To: navysealdad

Their U.S. Treasury debt portfolio has dropped almost 40%.

From $1.275 trillion to $775 billion.

However, the time frame is 10 years and 2 months.

I will guess they did NOT sell them.

Interest rates were increasing during most of that decade, which means they would have lost principal if they sold before maturity.

Most likely, they held all their bonds until maturity, and then received a full principle payment.

Did they make investments in other areas? Did they pay down debt? Did they inject cash into their budget?

I do not know the answer.


19 posted on 05/20/2024 12:36:11 PM PDT by zeestephen (Trump "Lost" By 43,000 Votes - Spread Across Three States - GA, WI, AZ)
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To: navysealdad

Didn’t they get dollars when they sold them? And what did they do with those dollars?


27 posted on 05/20/2024 1:14:38 PM PDT by aquila48 (Do not let them make you "care" ! Guilting you is how they control you. )
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