China To Dump 20% Of US Treasury Holdings, Threatens To Sell 100% In “Extreme Case” Like Conflict (Video)
China To Dump 20% Of US Treasury Holdings, Threatens To Sell 100% In “Extreme Case” Like Conflict Video by Silver Report
China warned Thursday of their intention to sell off 20% of their over $1 trillion in Treasury Securities. They plan to reduce the holding of US treasuries down to around $800 billion and though China has been steadily reducing their Treasury holdings they have never had a wholesale dumping of treasuries and they even warned they might sell everything in an extreme case like during conflict. Around a year ago someone ran an unconfirmed headline warning of China’s intention to begin selling Treasuries and the market sold off on the headline though it turned out not to be true.
At the time I thought maybe this was some kind of test, and it’s clear they understand the significance because they also left the most alarming warning. They might sell their entire stock of Treasury securities which numbers over $1 trillion at the time. They said this is the option they will uses in an extreme case like conflict. This announcement was on Thursday and its no coincidence that’s the day the market began to sell off.