China Cuts American Bond Holds For The 4th Consecutive Month

As of June, China cuts the US Government Bonds in the 4th consecutive month - a move is supposed to prevent potential negative impacts due to middle-American stress. 00/2: 00 namtheo data of the US Department of Finance announced on August 16, the country's bonds held by China in June fell 16.5 billion USD compared to the previous month, to nearly 1.062 billion. This is the fourth month of Beijing consecutive cuts of US government bonds and the lowest level since October 2020

. In the first half of 2021, China sold US bonds from March to June, While buying in January and 2, with a total holding capacity of 10.4 billion USD. China cuts US bond holds for the fourth month in a row (Artwork: KT) Up to now, China is still The country holds the second largest dollar bond outside the US, after Japan when the total holding value of the country is more than US $ 1,277 billion as of the end of June
According to Chinese experts, the volatility in the grasp Keeping American bonds of this country are the result of flexible actions of the Central Bank based on the balance of payments and aims to stabilize the exchange rate of the yuan. Besides, in the defiance American-central relations are stressed and have many fluctuations, China may continue to sell US bonds, due to concerns of political risks when the US dollar can become weapons of President Joe Biden administration. With fluctuations in the market, holding too much US bonds can cause financial security issues to China. In addition, economic exchange between China and other economies, such as EU and ASEAN are increasing, which also leads to the growing demand of the central bank in the increase in holding currencies other than US dollars. However, there is also analysis said that China has It will still continue to buy US government bonds due to very few other options to invest in the country's giant foreign exchange assets. Latest data announced by the Chinese National Foreign Exchange Administration, showing that the country's foreign exchange reserve has reached nearly 3,240 billion USD in July, a record high since 2016./. / VOV-Beijing

. Dịch vụ: Thiết kế website, quảng cáo google, đăng ký website bộ công thương uy tín

Related news