Again, Americans hold the bulk of their own debt, the amount held by any one foreign country is negligible.The Conservative wrote: ↑Sat Jan 04, 2020 7:24 pmIf they can afford to if the US gains too much of its debt back, other countries may not be able or willing to pay the upfront costs for long-term gain in theory.Smitty-48 wrote: ↑Sat Jan 04, 2020 7:21 pmSomeone else will buy the debt at a slightly higher interest rateThe Conservative wrote: ↑Sat Jan 04, 2020 7:19 pm
I understand that but what happens if China calls in the debt?
China would make itself an outlier to refuse to buy American debt, it doesn't give them any power over America
Higher interest rates are not necessarily a bad thing neither, just switch to fixed income.
Most of America's debt is held by Americans, China's share is not that much, around 10%
The US Dollar would become much more powerful if a Trillion was recalled on it...
So Trump ordered General Soleimani Assassinated, and now people are crying for WWIII....
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Re: So Trump ordered General Soleimani Assassinated, and now people are crying for WWIII....
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Re: So Trump ordered General Soleimani Assassinated, and now people are crying for WWIII....
Then why less than 20 years ago it was such a bad thing for China to hold "So much Debt"?Smitty-48 wrote: ↑Sat Jan 04, 2020 7:26 pmAgain, Americans hold the bulk of their own debt, the amount held by any one foreign country is negligible.The Conservative wrote: ↑Sat Jan 04, 2020 7:24 pmIf they can afford to if the US gains too much of its debt back, other countries may not be able or willing to pay the upfront costs for long-term gain in theory.Smitty-48 wrote: ↑Sat Jan 04, 2020 7:21 pm
Someone else will buy the debt at a slightly higher interest rate
China would make itself an outlier to refuse to buy American debt, it doesn't give them any power over America
Higher interest rates are not necessarily a bad thing neither, just switch to fixed income.
Most of America's debt is held by Americans, China's share is not that much, around 10%
The US Dollar would become much more powerful if a Trillion was recalled on it...
#NotOneRedCent
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Re: So Trump ordered General Soleimani Assassinated, and now people are crying for WWIII....
It's just a media fabricated narrative, clickbait for SIFCLF'sThe Conservative wrote: ↑Sat Jan 04, 2020 7:27 pmThen why less than 20 years ago it was such a bad thing for China to hold "So much Debt"?Smitty-48 wrote: ↑Sat Jan 04, 2020 7:26 pmAgain, Americans hold the bulk of their own debt, the amount held by any one foreign country is negligible.The Conservative wrote: ↑Sat Jan 04, 2020 7:24 pm
If they can afford to if the US gains too much of its debt back, other countries may not be able or willing to pay the upfront costs for long-term gain in theory.
The US Dollar would become much more powerful if a Trillion was recalled on it...
Foreign countries holding US debt is not a bad thing, that's them taking American IOU's in payment, those IOU's can only be redeemed in the American Hegenomy.
If a country is allowing American dollars to flow in ?
That's how America takes over, that's how you become totally dependent on America.
Where can China dump their trillions of US dollars ? It all comes back to America in the end, King Dollar rules.
Last edited by Smitty-48 on Sat Jan 04, 2020 7:36 pm, edited 1 time in total.
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Re: So Trump ordered General Soleimani Assassinated, and now people are crying for WWIII....
Sky Is Falling Chicken Little Faggot
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Re: So Trump ordered General Soleimani Assassinated, and now people are crying for WWIII....
I'll tell you what, other holders are willing to pay more interest on that US debt than the Chinese are
If the Chinese dump their debt to many different smaller holders, America makes more money on it not less.
What does it mean to "dump the debt" ?
It means you sell it to someone else, it doesn't mean America is in trouble, because there are plenty of takers.
Buying foreign debt is just fixed income, the treasuries are bonds
Who doesn't want the interest payments ? Everybody wants that money, including China
Nobody is dumping US treasuries, it's a silly narrative, we are nowhere near close to that happening.
Remember; America doesn't have to be perfect, America just has to be better than everybody else.
Everybody else is such a basket case, America is not being challenged at all.
If the Chinese dump their debt to many different smaller holders, America makes more money on it not less.
What does it mean to "dump the debt" ?
It means you sell it to someone else, it doesn't mean America is in trouble, because there are plenty of takers.
Buying foreign debt is just fixed income, the treasuries are bonds
Who doesn't want the interest payments ? Everybody wants that money, including China
Nobody is dumping US treasuries, it's a silly narrative, we are nowhere near close to that happening.
Remember; America doesn't have to be perfect, America just has to be better than everybody else.
Everybody else is such a basket case, America is not being challenged at all.
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Re: So Trump ordered General Soleimani Assassinated, and now people are crying for WWIII....
It still boggles my mind that we print money so readily and people are buying the debt so quickly... and there are no real repercussions for it. There has to be a course correction in the future... I mean there is a point in time where China is going for forfeit, it's not a matter of if, but when... they have debt that dwarfs the US to a magnitude that most people can't comprehend...Smitty-48 wrote: ↑Sat Jan 04, 2020 7:39 pmI'll tell you what, other holders are willing to pay more interest on that US debt than the Chinese are
If the Chinese dump their debt to many different smaller holders, America makes more money on it not less.
What does it mean to "dump the debt" ?
It means you sell it to someone else, it doesn't mean America is in trouble, because there are plenty of takers.
Buying foreign debt is just fixed income, the treasuries are bonds
Who doesn't want the interest payments ? Everybody wants that money, including China
Nobody is dumping US treasuries, it's a silly narrative, we are nowhere near close to that happening.
The US will win the battle, and the "war" when it comes to China... but if China falls, can the US infrastructure build back up fast enough to absorb the fabrication that China was able to reproduce at a "Competitive rate"? Because as it has been shown China has only gotten to where they are because of lying, stealing, and undercutting... and all three of those chickens are coming home to roost at a quick pace.
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Re: So Trump ordered General Soleimani Assassinated, and now people are crying for WWIII....
Think of it like a unit or command designation, like CENTCOM but for absolute pussies.
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Re: So Trump ordered General Soleimani Assassinated, and now people are crying for WWIII....
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The Flight to Quality is that the whole world is eager to take American IOU's to redeem in America's Hegenomy.
No foreign power is even close the challenging this, the Chinese least of all, since they are totally reliant on America now, Chimerca cannot be undone by Beijing, that's the only thing propping them up.
No it doesn't, that's how fixed income works, and there are so many takers, the interest rates are constrained.The Conservative wrote: ↑Sat Jan 04, 2020 7:49 pmIt still boggles my mind that we print money so readily and people are buying the debt so quickly...Smitty-48 wrote: ↑Sat Jan 04, 2020 7:39 pmI'll tell you what, other holders are willing to pay more interest on that US debt than the Chinese are
If the Chinese dump their debt to many different smaller holders, America makes more money on it not less.
What does it mean to "dump the debt" ?
It means you sell it to someone else, it doesn't mean America is in trouble, because there are plenty of takers.
Buying foreign debt is just fixed income, the treasuries are bonds
Who doesn't want the interest payments ? Everybody wants that money, including China
Nobody is dumping US treasuries, it's a silly narrative, we are nowhere near close to that happening.
The Flight to Quality is that the whole world is eager to take American IOU's to redeem in America's Hegenomy.
No foreign power is even close the challenging this, the Chinese least of all, since they are totally reliant on America now, Chimerca cannot be undone by Beijing, that's the only thing propping them up.
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Re: So Trump ordered General Soleimani Assassinated, and now people are crying for WWIII....
This by the way, was the same situation with the Soviets back in the Cold War
On the one hand they were ostensibly "enemies", on the other hand they were totally reliant on King Dollar too.
The only way the Soviets could fund themselves, was to trade oil for American dollars.
China is the same, except instead of oil, they trade cheap labor for US dollars.
If the American dollar goes down, it takes China with it, so America has actually got them by the balls.
On the one hand they were ostensibly "enemies", on the other hand they were totally reliant on King Dollar too.
The only way the Soviets could fund themselves, was to trade oil for American dollars.
China is the same, except instead of oil, they trade cheap labor for US dollars.
If the American dollar goes down, it takes China with it, so America has actually got them by the balls.
Last edited by Smitty-48 on Sat Jan 04, 2020 8:06 pm, edited 1 time in total.
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