https://finance.yahoo.com/news/china-officials-recommend-slowing-halting-u-bond-purchases-162651533--business.html
I think China has had enough of the USA's ante and anti-China rhetoric.
If China stops buying or starts selling USD treasuries, interest rates will go up much faster than anticipated in the bond markets and the ensuing outcome will be higher interest rates in other sectors such as mortgages and loans.
These rapid rises in interest rates will affect investors' sentiment and slow down corporations' investments because of higher capital costs and higher expectations on ROI.
Good luck to everyone!
Subscribe to:
Post Comments (Atom)
.jpg)
2 comments:
https://sg.finance.yahoo.com/news/reports-china-slowing-u-debt-buying-could-based-035440594--business.html
Bloomberg is being accused of publishing fake news now. Let's see.
China had refuted the Bloomberg publication by stating "maybe wrong source or maybe fake news" which was weird.
If China had no real intention to stop buying USD treasuries, China would have said that there was no such thing instead of saying "maybe wrong source or fake news". I don't understand the rationale for not refuting the Bloomberg news in a direct manner unless this is meant as a subtle warning to the USA.
Post a Comment