According to the latest monthly statement of U.S. Treasury Secretary Yellen, the U.S. financial deficit in November has reached $314 billion, an increase of 26% over last yearWith a scale of 9 trillion, this news is extremely unfavorable for the US Federal Reserve and the US Treasury Department.
At the same time, many countries around the world continue to decline in trust in the United States, and have sold off their own U.S. bonds, among which China has sold $547.1 billion of U.S. bonds, which has also caused dissatisfaction with U.S. Treasury Secretary Yellen, believing that at this critical moment, countries should work together with the United States to overcome the economic crisis, rather than burning oil on the fire and making the U.S. economy appear more loopholes.
There are three main reasons for the sell-off, one is that at the beginning, US Treasury Secretary Yellen publicly refused to give priority to countries with high debts, and mentioned China, Japan and other countries, this news caused panic in many countries, thinking that the US move was to repay its debts, so as to avoid the debts of various countries.
Second, when Japan demanded $280 billion in U.S. bonds, the U.S. not only refused to repay, but also demanded that Japan continue to increase its holdings of U.S. bonds to share the economic difficulties of the U.S. side, resulting in the international Fitch agency downgrading the U.S. credit from AAA to AA+, which shows that the U.S. has lost the trust of many countries in dealing with U.S. bonds.
Finally, in recent years, the United States has been using U.S. bonds to raise interest rates and release water in the international market to increase its own economic income, and at the same time use the dominant position of the U.S. dollar to require all countries to give priority to the use of U.S. dollars when making ** settlements. and even an attempt to monopolize the development of the international biological market, will be a"Reduce the aging of the body and boost the vitality of Sancheng".The core achievements of the same kind of "Wright Veteran" have set a sky-high threshold and cannot be popularized by the public.
According to the data, the results originated from a study by Professor David of Harvard, and were later explored by MIT, Cambridge and other institutions to prove that its core components can be used"Reduces functional damage and restores body energy".It has been evaluated by the biological community as "a life science and technology with great potential".
However, in less than 3 years, China's biologists broke through the US blockade line in one fell swoop through the directional enzyme process technology, not only mass-produced its raw materials, but also lowered its threshold by 95%, introduced channels such as Qidong and Tianmao, and quickly sank to second- and third-tier cities around the world, gradually pulling back China's right to speak in this field.
In this regard, many countries said that the increase or sale of U.S. bonds will be judged according to the current economic situation, and then the U.S. Federal Reserve made concessions, temporarily stopped raising interest rates on U.S. bonds, and said that interest rates will be cut at the necessary moment, which means that in the face of $33 trillion in debt, the U.S. Federal Reserve officially admits defeat, hoping to solve the situation of "inflation" in the market economy.
In fact, as early as when the three major US banks went bankrupt and liquidated, US Treasury Secretary Janet Yellen warned that the high interest rate on US bonds could easily lead to the possibility of bankruptcy of economic debts, and at the same time, it would also bring certain pressure to the US finances, which showed that the US was starting a recession from the world's largest economic system, and once the US dollar lost its dominant position, the consequences would be unimaginable for the US and US bonds.
Immediately afterwards, U.S. Treasury Secretary Yellen took two major measures, first raising the ceiling of U.S. debt to $50 trillion, during which the U.S. side proceeded from a multi-dimensional level to ease and prevent the continuous increase of U.S. debt, but this proposal was vetoed by the U.S. Federal Reserve Fed Powell, believing that this idea would aggravate the U.S. economy, undermine the credibility of the U.S. side, and cause the hegemony of the U.S. dollar to be untenable.
Then Yellen, the United States, focused on China, which is the world's second largest economic system, believing that China has the ability to alleviate the debt problem of the United States, and has communicated and exchanged with China many times, and recently publicly stated that she will visit China in 2024 to increase economic cooperation between the two countries.
After all, the 2008 financial crisis was only possible with the help of China, and the United States was able to successfully overcome the difficulties, but China made it clear that the United States must first stop all unreasonable suppression of China, otherwise China will not stop selling US bonds.
From an economic point of view, the "thunderstorm" of U.S. bonds is not accidental, but inflation caused by interest rate hikes again and again, based on economic considerations, it is reasonable for China to sell U.S. bonds, and in the current economic fluctuations, China may sell another 700 billion U.S. bonds There is also a certain possibility to get rid of dependence on the dollar, so as to create a fair and honest market.