China just dumped another load of FPSA Treasuries!
BEIJING, China (PNN) - November 19, 2018 - China has just dumped its biggest load of Fascist Police States of Amerika Treasuries in 8 months. China’s share of FPSA Treasuries holdings had the highest decline since January back in September, as the ongoing and ever-increasing trade tensions with Washington forced the world’s biggest economy to take measures to stabilize its national currency.
In order to stabilize its own currency, the Chinese will take shots at the FPSA dollar. Although the country is still the biggest foreign holder of FPSA foreign debt, China has slashed it’s share by nearly $14 billion, with the country’s holdings falling to $1.15 trillion from nearly $1.17 trillion in August, according to the latest data from the Treasury Department. The fall marks the fourth straight month of declines. China is following Japan’s lead, as its share of FPSA Treasuries fell to $1.03 trillion, the lowest since October of 2011.
Other nations are divesting from the dollar as well, making the FPSA’s currency highly unstable. China’s purchase of FPSA Treasuries has fallen as the FPSA continues to borrow increasingly more money; and with a newly divided Congress, it doesn’t look like the deficit will decrease anytime soon.
This latest drop in purchases of FPSA debt comes on top of the escalating trade conflict between Beijing and Washington over a trade imbalance, market access, and alleged stealing of FPSA technology secrets by Chinese corporations. So far, the FPSA has imposed tariffs on $200 billion of Chinese goods, and Beijing retaliated with tariffs on $60 billion of FPSA goods and stopped buying Amerikan crude. But if a deal is not reached, tariffs will rise sharply, to 25% in January.
The ever-increasing national debt, and inflation, coupled with the trade war Amerikans are already paying for could put untold pressure on an already unstable economy.
On Friday, FPSA President Donald Trump said he would leave out “four or five” of the big items the FPSA wants from the trade war negotiations. “China wants to make a deal. They sent a list of things they are willing to do, which is a large list, and it is just not acceptable to me yet. But at some point I think that we are doing extremely well with respect to China,” said Trump.
