Selling for 6 consecutive months, China's holding of US debt has a new low in 12 years

On July 18, local time, the latest "International Capital Flow Report" of the Ministry of Finance of the United States showed that the US Treasury bonds held in China in May decreased by 22.6 billion US dollars from the previous month to 980.8 billion US dollars. Less than $ 1 trillion.

China is the country with the second highest U.S. Treasury bonds worldwide, but has reduced its holdings for six consecutive months, selling a total of $ 100 billion, and selling the most in the U.S. bond countries and regions; Japan is the largest credit country in the United States. It also reduced its holdings for 3 consecutive months, and currently holds about 1.21 trillion US dollars in US debt, a new low since 2020.

The outside world noticed that in May, which has raised interest rates for the first time in the 22nd year, China and Japan, as the largest debtor in the United States, both sold US debt as the largest US debtor. According to US media, the repeated depreciation of the yen against the US dollar may prompt Japanese investors to sell US assets for "foreign exchange arbitrage". As for China's reduction of U.S. Treasury bonds, it is intended to "diversify overseas investment portfolios." At the same time, there are also opinions that the geographical change bureau represented by the Russian and Ukraine conflict and the overall trend of global de -US dollarization have enabled countries to tend to reduce holding US debt and increase gold reserves.

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