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Igel

(37,010 posts)

7. They buy Treasury bills regardless of which party's the nominal ruler.

Reply to BoRaGard (Reply #3)

Fri May 30, 2025, 06:54 PM

May 30

But the difference is that they buy bonds and bills. They don't make loans that have infrastructure as collateral or which can be recalled.

When the bonds/bills mature, they're cashed in. That's about the limit of the demand their owners can impose on the US government. The only other thing they can do is (a) stop buying and (b) start selling, which would depress demand and increase the interest rate. It would also depress the value of their holdings, that ol' inverse relationship that usually holds between bond price and interest rate.

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Highlight:

Warning issued as China to recall debt from 75 countries [View all] Yo_Mama_Been_Loggin May 30 OP

"How much of our debt do they own?" TheProle May 30 #1

AI says China owns ................ bucolic_frolic May 30 #2

That would be another GOP-engineered kick in the nads BoRaGard May 30 #3

They buy Treasury bills regardless of which party's the nominal ruler. Igel May 30 #7

A Pittance, Really ProfessorGAC May 30 #4

So they're going to sell US treasuries and tank bonds? Johnny2X2X May 30 #5

And we have never used loans and IMF to profit off of and take advantage of other countries? I read 'Confessions of wiggs May 30 #6