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As someone who's very well informed on that corner of financial markets, you probably realize that China controls much more than $660 billion of US Treasury sec
by panarky 1mo ago
As someone who's very well informed on that corner of financial markets, you probably realize that China controls much more than $660 billion of US Treasury securities.
I'm sure you also realize that when a large holder sells a significant stake of any asset, traders anticipate they will sell more in the future.
Example 1: Berkshire Hathaway selling $47 million of BYD and the market price dropping 8% the next day, wiping out $10 billion of market value.
Example 2: Musk selling 0.6% of his stake in Tesla, and the market price dropping 15% the next day, wiping out $187 billion in market value.
Example 3: UK government announcing a planned sale of 0.3% of above-ground gold, and the global gold price plunging 10% before the first auction.
- sscaryterry 1mo agoThank you, you've explained much better what I meant by "the call".
- justin66 29d ago> As someone who's very well informed on that corner of financial markets, you probably realize that China controls much more than $660 billion of US Treasury securities. How much do they control? Please cite your sources. I can find some information about "shadow holdings" (exciting!) held in Luxembourg and Belgium [0] but I cannot imagine those treasuries would add up to a multiple of what's officially on the books and held by the Chinese government and Chinese companies. Interesting thought, though. [0] https://www.cnbc.com/2026/05/19/central-banks-offload-us-treasuries-china-holdings-at-18-year-low.html https://www.cnbc.com/2026/05/19/central-banks-offload-us-tre...