Recently, the world's three major overseas buyers - Japan, China and the United Kingdom have announced a sell-offU.S. Treasuries, putting enormous pressure on U.S. Treasury Secretary Janet Yellen. The news came as a shock to the entire United States. From an investment point of view, thoughU.S. TreasuriesYields are fallingU.S. Treasuries** Rising, temporarily alleviating the crisis, investors who were stuffed at the high levels are starting to see an easing of the trend of losses. However, from the finances of the United States andDebtFrom the point of view, the problem is getting worse. According to the latest data released by the US Treasury Department,U.S. TreasuriesThe scale has been as high as 339 trillion dollars, some analysts even believe that before the period of the suspension of the ceiling arrives,U.S. TreasuriesIt may exceed 40,000 billion. China, the largest creditor of the United States, has sold $27.3 billion in the past monthU.S. Treasuries, sales have reached $89 billion so far this year. Japan, as an ally of the United States, used to be the most staunch holdingU.S. Treasuriesof creditors, but currently holdingU.S. TreasuriesOnly 1$09 trillion and could soon fall below the $1,000 billion mark. The UK is also globalDebtImportant players in the market have also recently reduced their holdingsU.S. TreasuriesScale.
Judging from these data, Yellen andUnited States**Both felt very anxious and confused. They must rethink how they respond to changes in the global market as wellU.S. Treasuriesfuture trends. This is an unprecedented challenge that is neededUnited States**Take more aggressive measures to stabilize the market and promoteEconomic growth
China, one of the largest holders of U.S. foreign debt, has sold $819 over the past month$100 millionU.S. Treasuries, with cumulative sales reaching $89 billion. The move sent shockwaves through global markets and added pressure on U.S. Treasury Secretary Janet Yellen.
However, there is a sell-off with ChinaU.S. TreasuriesIn stark contrast,U.S. TreasuriesThe biggest "pick-up man" appeared. Although Japan is also **U.S. Treasuries, but still isU.S. Treasurieslargest overseas buyers. However, due to holdingU.S. TreasuriesAs the scale continues to shrink, Japan may soon fall below the $1 trillion mark. Faced with this reality, Yellen and the wholeUnited States**Both felt very anxious and confused. They urgently need to take proactive steps to stabilize the market and mitigate itDebtCrisis.
China sellsU.S. TreasuriesThe move sparked a lot of interest in the peopleU.S. TreasuriesMarket attention and discussion. In addition to the need to release market pressure and ease capital flows, China has sold offU.S. TreasuriesIt also means China against the United StatesEconomyof worries and pairsU.S. TreasuriesWarnings of risk.
From an investment point of view,U.S. TreasuriesYields are falling, ** rising, and not good news. But if we take from the finances of the United States andDebtperspective, the problem becomes more complex. AmericanDebtIt has become more and more seriousFiscal deficitsConstantly expanding. Currently,U.S. TreasuriesThe scale has been as high as 339 trillion dollars, there are experts**, before the moratorium period arrives,U.S. TreasuriesThe scale may exceed 40,000 billion. This is a huge burden and challenge for the United States, and it needs to be actively addressed.
In the face of the Chinese sell-offU.S. TreasurieswithDebtThe double challenge of the crisis,United States**Think about how to deal with it. First, the U.S. needs to step up fiscal reform and reduceFiscal deficitsto stabilize the financial situation. Second, the U.S. should increase its attractiveness to domestic investors and encourage them to continue holdingU.S. Treasuriesand expand the size of holdings. In addition, the United States can also look for new internationalsDebtholders, reducing dependence on large countries such as China. Finally, the U.S. should step upEconomic restructuringStrength, improveEconomyCompetitiveness, stimulationEconomic growth, thereby increasing the ability to repay debts.
In short, China sellsU.S. TreasuriesThe move plunged global markets into turmoil, while also givingThe U.S. debt crisisAdded a new level of pressure. United States**Serious thinking must be given to how to respond to this challenge, stabilize the market and promote itEconomic growth。It can only be effectively resolved through positive measures and practical reformsDebtCrisis, realizationEconomyContinued development and stability.