{"id":68202,"date":"2024-05-18T11:28:15","date_gmt":"2024-05-18T16:28:15","guid":{"rendered":"https:\/\/olduvai.ca\/?p=68202"},"modified":"2024-05-18T11:28:15","modified_gmt":"2024-05-18T16:28:15","slug":"is-china-dumping-us-treasuries-and-buying-gold-bloomberg-says-yes-pettis-uncertain","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=68202","title":{"rendered":"Is China Dumping US Treasuries and Buying Gold? Bloomberg Says Yes, Pettis Uncertain"},"content":{"rendered":"
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Is China Dumping US Treasuries and Buying Gold? Bloomberg Says Yes, Pettis Uncertain<\/a><\/h3>\n<\/div>\n<\/div>\n
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Bloomberg reported that China is selling a record amount of US debt while buying gold. Previous reports of debt selling were false. Let\u2019s check in with Michael Pettis at China Financial Markets for another opinion.<\/p>\n

China Sells Record Sum of US Debt<\/strong><\/p>\n

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Bloomberg reports\u00a0China Sells Record Sum of US Debt Amid Signs of Diversification<\/a><\/p>\n

China sold a record amount of Treasury and US agency bonds in the first quarter, highlighting the Asian nation\u2019s move to diversify away from American assets as trade tensions persist.<\/p>\n

Beijing offloaded a total of $53.3 billion of Treasuries and agency bonds combined in the first quarter, according to calculations based on the latest data from the US Department of the Treasury. Belgium, often seen as a custodian of China\u2019s holdings, disposed of $22 billion of Treasuries during the period.<\/p>\n

China\u2019s investments in the US are garnering renewed investor attention amid signs that tensions between the world\u2019s largest economies may worsen. President Joe Biden has unveiled sweeping tariff hikes on a range of Chinese imports, while his predecessor Donald Trump said he might impose a levy of more than 60% on Chinese goods if elected.<\/p>\n

\u201cAs China is selling both despite the fact that we are closer to a Fed rate-cut cycle, there should be a clear intention of diversifying away from US dollar holdings,\u201d<\/em>\u00a0said Stephen Chiu, chief Asia foreign-exchange and rates strategist at Bloomberg Intelligence.\u00a0\u201cChina\u2019s selling of US securities could speed up as US-China trade war resumes\u201d especially if Trump returns as president, he said.<\/em><\/p><\/blockquote>\n

China is Buying Gold<\/strong><\/p>\n

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One part of the story is not in question. That part pertains to China buying gold.<\/p>\n

Is China Dumping US Debt?<\/strong><\/p>\n

I asked Michael Pettis that question yesterday. Pettis graciously replied with an email this morning plus a five-part Tweet.<\/p>\n

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…click on the above link to read the rest of the article…<\/p>\n<\/div>\n<\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

Is China Dumping US Treasuries and Buying Gold? Bloomberg Says Yes, Pettis Uncertain Bloomberg reported that China is selling a record amount of US debt while buying gold. Previous reports of debt selling were false. Let\u2019s check in with Michael Pettis at China Financial Markets for another opinion. China Sells Record Sum of US Debt […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[2,5],"tags":[130,14648,13390,827,834,1576,2721],"class_list":["post-68202","post","type-post","status-publish","format-standard","hentry","category-economics","category-geopolitics","tag-china","tag-michael-shedlock","tag-mishtalk","tag-united-states","tag-us","tag-us-debt","tag-us-treasuries"],"_links":{"self":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/68202","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=68202"}],"version-history":[{"count":1,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/68202\/revisions"}],"predecessor-version":[{"id":68203,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/68202\/revisions\/68203"}],"wp:attachment":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=68202"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=68202"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=68202"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}