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⚡️🇨🇳🇺🇸 NEWS - China is waging a very interesting financial war...

Beijing is massively selling its US Treasuries to retaliate against Trump while the media focuses on tariffs.

Its secret weapon?

Its $1 trillion in US Treasuries, which it can sell at any time.

Let me explain a little, because the idea is brilliant. By getting rid of its American securities, Beijing :

✅ Drives down the dollar (green line)

✅ Drives up interest rates in the USA (blue line)

✅ Props up the yuan to give the impression of resistance (red line)

At the same time, China has imposed limits on equity sales on its markets.

Funds are prohibited from selling more than 50 million yuan per day.

The aim is to maintain the illusion of stability during the current storm.

The US Treasury Secretary Scott Bessent is planning to increase Treasury buybacks.

It's more or less a form of "QE light" to stabilize markets without waiting for the Fed.

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Martien 9mo ago

Isn’t the whole goal of the US of this to devalue the dollar? They don’t want to be the bank of the world anymore… labor gets cheaper, creating more middle class jobs and in the meantime inflate themselves out of their debts by printing shitloads of more fiat?

Aka this is exactly what they want?

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