- cross-posted to:
- worldnews
- worldnews@lemmy.ml
- cross-posted to:
- worldnews
- worldnews@lemmy.ml
China sold a record $53.3 billion of US Treasury and agency bonds in the first quarter of 2024, likely due to escalating trade tensions and a desire to diversify its assets. This move is raising concerns as China is a major holder of US debt and its actions could impact the US economy. Additionally, China has been increasing its gold reserves, potentially as a way to mitigate sanctions risk.
A shrinking real economy is not as big of a problem for the American ruling class as you might think. Their lifestyles will remain comfortable no matter how much the economy degrades. Their only worry is maintaining power for themselves, and that requires them to make moves that are economically irrational.