Finding myself attached to being human and cringe at the modified being bit. Given what’s going down in the world and man’s displayed insanity I can see the rationale for that drift in evolution. I probably need to get over it and read some science fiction.
Thinking out loud and off of the wall. The present administration has pissed off the world. Would the Chinese government and/or others, put sanctions on the US over its actions against Iran? Dumping Treasury bonds on the open market, excess supply would drive down prices while increasing the effective interest rate.
This has been happening awhile, just slowly, vs a dump, mostly by letting treasuries mature and not re-buying.
The problem is that they still need dollars for international trade (even if they are pushing for more yuan-denominated contracts, they're a long way from convincing the rest of the world to take yuan over dollars). It would hurt the US, but unless they literally sold all of their treasuries at once, it would also devalue what's left of their holdings, shooting themselves in the foot. (And even if they did do it all at once, they only own 3% of outstanding US treasuries, so it's less than you might think.) It would still hurt, but at the end of the day, the USD is still the world's reserve currency (for now).
Finding myself attached to being human and cringe at the modified being bit. Given what’s going down in the world and man’s displayed insanity I can see the rationale for that drift in evolution. I probably need to get over it and read some science fiction.
Thinking out loud and off of the wall. The present administration has pissed off the world. Would the Chinese government and/or others, put sanctions on the US over its actions against Iran? Dumping Treasury bonds on the open market, excess supply would drive down prices while increasing the effective interest rate.
This has been happening awhile, just slowly, vs a dump, mostly by letting treasuries mature and not re-buying.
The problem is that they still need dollars for international trade (even if they are pushing for more yuan-denominated contracts, they're a long way from convincing the rest of the world to take yuan over dollars). It would hurt the US, but unless they literally sold all of their treasuries at once, it would also devalue what's left of their holdings, shooting themselves in the foot. (And even if they did do it all at once, they only own 3% of outstanding US treasuries, so it's less than you might think.) It would still hurt, but at the end of the day, the USD is still the world's reserve currency (for now).