and the Bank of Japan increased their holdings of U.S. Treasury bonds. This is not to copy the bottom of the US debt, mainly related to the Japanese national conditions. Because the yen continues to depreciate against the US dollar, the Bank of Japan has increased its holdings of US Treasury bonds to avoid the risk of yen decline. Although it is still a decline in U.S. Treasury bonds, compared with the huge depreciation of the Japanese yen, the Bank of Japan still has a chance to avoid it. The main tone of loose policy is actually always buying and buying.
China is obviously different from Japan. The RMB is relatively anti -declining compared to the US dollar, and the decline in global currencies is small. Therefore, the Central Bank of China does not need to bet on the US dollar to make money. On the contrary It may change history. Those investors in under U.S. Treasury bonds are now facing declines, and they can't see their heads, because Fed's continues to raise interest rates , US Treasury bond prices continue to fall. It may fall to the bottom, and now these are still far away.
Fed and the EU Bank of EU continued to raise interest rates, stimulating the rapid decline in the European and American bond market, and a large decline. The European and American bond market entered the bear market. Looking at the data of international investors to increase holdings of U.S. debt, reality is the most convincing. U.S. Treasury bonds will fall to the present. Any investor will claim and swarmed into the sheep effect. The decline is stuck. This is the foresight of the People's Bank of China to avoid the decline in US debt in time.
does not know to what extent will the US Treasury bonds fall this time and whether it will trigger the risk of US Treasury bond default. Previously, Moody's and Fitch had lowered the rating of US Treasury bonds. According to the degree, if the continuous decline has not rebounded, it will definitely cause continuous panic and the continuous selling tide. In fact, European and American investment banks have issued warnings. In fact, European and American investment institutions also short European US debt, and they are profitable. The decline in US bonds is still the initial stage, and how the future prospects are unknown. In recent years,
has repeatedly triggered the upper limit of debt in U.S. Treasury bonds. They are temporarily increasing the debt limit for Congress. Sanctions and frozen sanctions can make other countries chill. Some long -term investors are also transferring investment destinations, get rid of long -term dependence on US dollars and US debt, and find new countries such as China and RMB. And let the world lose confidence in Europe and the United States, in fact, the continued decline in U.S. debt reflects this reality.