China still holds more than 900 billion US dollars. If all of them are sold, can the United States bear it?

Author:Huanyu Hundred State Time:2022.09.07

According to the previous data released by the US Finance, China still holds more than 900 billion US debt.

Based on the two -hook principle of the Bretton forest currency system, the US dollar and gold are directly linked to the world currency.

In the decades since then, with this advantage, the United States has stirred up the wind and rain in the international economic order market. To this day, China currently holds more than 900 billion U.S. bonds. These bonds are of great significance.

What does US Treasury bond mean?

After World War II, the United States, as a mussels, fisher in the fisherman, successfully constructed the world's dominant position.

As a capitalist country, the economy is an important weapon in the United States. The US dollar and gold are directly linked to the world currency. This is a means of American politics.

According to data research, before World War II, US Treasury bonds were about $ 51 billion, and the end of World War II, this value directly soared to $ 260 billion.

About 25%of U.S. Treasury bonds are held by other countries. Among them, Japan is the top, followed by China.

China and Japan account for 66%of the total number of Treasury bonds issued to other countries to other countries.

One important reason for the issuance of government bonds is to balance national fiscal revenue and expenditure and make up for fiscal deficit.

In addition, tax and profit fees are often used as a means of monetary policy as a major source of money in a country, and government debt is no exception.

Treasury bonds can play a key role in fiscal and monetary policy.

On the one hand, national debt can stabilize the financial market, and on the other hand, it can also play a role in macro -control.

For the United States, Treasury bonds are a means of transferring risks. The Federal Reserve has passed the risk of national bonds to make them all over the world.

How does 900 billion US dollars accumulate?

Because the US dollar is the world's currency, as one of the most effective foreign exchange in the international market, at the beginning of the founding of the People's Republic of my country, due to the lack of foreign exchange, it was difficult to carry out normal economic exchanges with other countries. Labor -intensive products in exchange for foreign exchange.

In such a historical background, we have always paid attention to US Treasury bonds.

As a superpower in the world, the United States has a leading science and technology level, and its economic means are emerging endlessly.

China and the United States have close economic exchanges. For more than 40 years since the reform and opening up, China has exported a large number of products to the United States.

For many years, there has been a trade surplus in China's economic exchanges, and my country's export volume is greater than imports from the United States.

And this is one of the reasons why China has obtained more than 900 billion US dollars.

In the international market, the products we exported to the United States for sales and earned the US dollar, but China's general currency is RMB, so here, there is a process from the US dollar to RMB. The renminbi accumulated a large number of US debt.

In addition to this reason, one of the important reasons why U.S. Treasury bonds are popular in China is high interest, and government bonds are also a financial investment product.

Under normal circumstances, the United States repaid the principal and interest rates in a timely manner. As the world's currency recognition, it is easy to circulate, it is a good financial investment product. Before the epidemic did not arrive, the US dollar maintained a long time of appreciation.

U.S. Treasury or Chengbing Handbal Taro

The US dollar appreciation and the US economy's feedback progress came to an abrupt end when facing the new crown epidemic. This happened last time, or the global economic crisis in 2008.

As the largest public health crisis faced by the world in the past century, the epidemic has not only had a significant impact on human health, but the impact on the economy is huge.

The sudden epidemic caused the United States for a period of economic suspension. For the weakening of future expectations, many industries could not continue to survive, and the United States continued to print the US dollar to transfer this crisis.

In this regard, my country has reduced U.S. Treasury bonds for seven consecutive months.

In the background of the international environment, it is not just the impact of the epidemic. At the beginning of this year, Russia conflicts with Ukraine.

Under the trend of globalization, war is a dangerous signal that complicates simple problems. The international situation is very subtle now. Financial security is difficult to guarantee. It is expected that the weakening has made China gradually reduce US debt.

Is it feasible to sell US debt?

China currently has 900 billion U.S. debt. At this time, will all we sell all it will cause a serious blow to the United States?

The fact is not.

The reason is that the dollar is still the world currency, and he can link directly with gold.

If all China sells U.S. debt and the Fed will operate, the most commonly used way in the United States is to add currency, which is their past tradition.

When the domestic crisis is serious, the best way is to transfer it to the international, which has a significant impact that the world's average is divided into its average.

China's direct selling US debt can lead to a certain fluctuation in US finance. This is not good for China. China needs a huge international trade market, so it also needs certain US debt.

Selling huge US debt will not directly affect the United States, and there will be other small countries to take over.

In the face of the US dollar overflow of international disorder, and for the no longer good expectations of the US dollar, the best way is to gradually reduce the holdings of U.S. debt, rather than a one -time sale, which is of great significance to stabilize the international financial market.

So far, Russia has basically cleared the US debt and proposed "de -US dollar" to receive support from many countries. The reason why the US dollar was able to become a world currency was because the United States had absolute advantages in the world system at that time. Now, with the trend of the world's polarization pattern, the traditional US traditional advantages have greatly reduced the risk of the US dollar exchange rate.

In order to avoid this risk, it is necessary to go to the US dollar centralization. There is a huge depreciation risk of the US dollar. From the perspective of market choices, the US dollar is no longer the optimal solution.

In the face of more than 900 billion U.S. debt, China is obviously unable to sell at one time, but the US dollar as the world currency's hegemony is gradually challenged and no longer firm.

The United States has risks to transfer risks and ahead. Although we can sell all US debt, he cannot cause a fatal blow to the United States, and it will seriously endanger the international monetary system. Therefore, this matter cannot be done.

China's holding US debt is a natural choice under economic globalization, and in the face of various factors such as the complicated political situation and the impact of the epidemic, the US dollar's anti -risk capacity has been greatly reduced, and there is a huge risk of depreciation.

The one -time selling U.S. Treasury bonds can lead to inflation in the United States, but it cannot cause irreversible blows to it, but it will impact the international financial system. China cannot sell US debt all, because the United States will pass on risks and may reproduce the 2008 global financial crisis.

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