China Slashes US Treasury Holdings to 18-Year Low as 30-Year Treasury Yield Hits 19-Year High - TradingView
China Slashes US Treasury Holdings to 18-Year Low as 30-Year Treasury Yield Hits 19-Year High - TradingView
Source: TradingView
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DW NOTE
China has cut its Treasury holdings to an 18-year low while the US 30-year yield hits a 19-year high — that's not coincidence, that's repricing of counterparty risk in real time. Beijing is selling into a market that no longer believes Washington can service $35 trillion in debt with a $1.8 trillion ten-month deficit and rates pinned at 3.6% against 3.4% inflation. The Fed isn't hiking because it can't afford to, and China isn't buying because it won't subsidise that choice.