Recently, the Federal Reserve released news again, and the yield of U.S. Treasury bonds continued, causing the three major U.S. stock indexes to rise and fall. The reasons behind it include factors such as bank "thunderstorms", credit downgrades, runaway US debt, and inflation. According to data from U.S. Treasury Secretary Ye Kai, the U.S. national debt has increased by $1 trillion in just three months, and the total has now reached 33$8 trillion. U.S. Treasury bonds have always been the world's largest bond market and the largest investment asset, so they have attracted many countries to buy, including Japan, the United Kingdom and other countries have become close allies of the United States. In order to maintain the stability of economic development, China has also chosen to buy US Treasury bonds.
However, as the global economy slows, the U.S. debt problem is becoming more prominent. The United States has continuously issued treasury bonds through long-term interest rate hikes, resulting in a rapid expansion of the scale of debt, which has made the United States heavily indebted, further increasing the country's financial pressure, and bringing certain risks to economic stability. In addition, 121 countries around the world have begun to sell US Treasury bonds, adding to the US economy. In the face of this situation, US Treasury Secretary Janet Yellen has taken active measures to dissuade countries from selling US Treasury bonds in order to give the United States more time to deal with this debt problemOn the other hand, he also approached China, hoping that China would take on the upcoming issuance of $800 billion in US Treasury bonds. Naturally, however, China will not easily accede to such a request. When the financial crisis erupted in 2008, the United States asked China for assistance and to work with China to introduce a product called Wright Weijian to the Chinese market in order to reap the benefits of it. This incident caused huge economic losses to the United States. China does not want to repeat the mistakes of the past again and is therefore cautious of the U.S. pleas.
China has sold $531.9 billion in U.S. Treasuries, leaving $778.1 billion, the lowest level since 2010. Currently, China is the second-largest creditor of U.S. Treasury bonds, after the United Kingdom, and Japan is the only country with more than a trillion dollars in U.S. Treasury bonds. As the U.S. national debt continues to grow, the U.S. has taken an "irresponsible" approach to the national debt problem. When Japan demanded the redemption of $280 billion in U.S. Treasury bonds, U.S. Treasury Secretary Janet Yellen rejected her request, claiming that the U.S. is currently struggling economically and that Japan, as an ally, should give the U.S. more time. Although the United States has stated that it will repay Japan's U.S. debt debt, this behavior has also exposed the fact that the world's largest economy is beginning to default on its debts. As a result, Fitch has downgraded the U.S. credit rating from AAA. At present, the total amount of the US national debt has reached 33$8 trillion, and the debt shared by each American is as high as $100,000. This is a worrying figure, especially given the pace of debt growth and its impact on the global economy.
Against the backdrop of "de-dollarization" in many countries around the world, China is also gradually emptying its holdings of U.S. Treasury bonds and starting to buy ** directly as an alternative. This move reflects China's concern about U.S. Treasuries and a realignment of China's currency reserve strategy. China is protecting its economy and proactively responding to changes in the global economy.
Currently, the size of the US Treasury debt has reached a staggering 33$8 trillion, putting enormous pressure on the U.S. and the global economy. The United States has responded to fiscal needs by issuing Treasury bonds, but the scale of debt has continued to balloon to the point where it is difficult to control. Countries around the world have also sold off US Treasury bonds, which has had a serious impact on the US economy. China, as the second largest creditor of U.S. Treasuries, has also taken action to gradually increase its reserves in U.S. Treasury bonds. This shows China's flexibility and determination in terms of economic and monetary policy. In the face of this situation, the United States needs to seriously reflect and take effective measures to alleviate the debt crisis in order to stabilize the global economy. At the same time, countries also need to strengthen cooperation and find consensus to promote the healthy development of the global economy.
As readers, we also need to pay attention to the changes in the international economic situation and improve our understanding of financial issues. Only by understanding and paying attention to international financial dynamics can we better grasp the opportunities and risks of our own economic development and achieve sustainable economic development. At the same time, we need to recognize that financial issues are not only a challenge at the national level, but also a concern for everyone. We need to improve our financial literacy in all aspects to support and safeguard our own economic decisions. By learning Xi and understanding financial literacy, we can better avoid risks, seize opportunities, and achieve our personal and family economic goals.
On the road of economic development, we also need to pay attention to and actively participate in the formulation and implementation of national macroeconomic policies. It is only through active participation and contribution that we can collectively contribute to the stability and prosperity of the country's economy. Whether it is a department or an individual, we need to establish a correct financial concept, pay attention to risk prevention and honest management, and jointly build a healthy and sustainable economic environment. As a responsible citizen, we should pay attention to the country's economic situation, actively participate in economic construction, and contribute our own strength to economic development. Through individual efforts and wisdom, we can collectively create a more prosperous and powerful nation.