Why is China worried about OUR treasuries? Our economy is far more stable than theirs!
Best Answer
265 points
fuzball answered 9 months ago …
Could it be because they have many billions invested in U.S. Treasuries? Would you be worried, too? Yeah, the "guarantee" of the "full faith and cdedit" of the U.S. on those treasuries is something to consider. But, the U.S. dollar, dispite it's current inflated standing in the money market, is losing value and will lose much more in the near future when it's true value becomes apparent. How would you like it if you had your money in a declining investment? I'm sure you would be worried, too.
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2222 points
readytoretire answered 9 months ago …
They are into our treasuries to the tune of T not B. So like fuzball says, they are worried about their investment. They also have bought several companies and property over here (with our money from their exports), so they have another reason for concern. As we are the buyer of much of their product, they are interested long term in us, at least until they can replace us with someone else as the buyer of choice.
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