常态化打击美国，17年来最狠的一招来了！

Core Insights - China continues to reduce its holdings of U.S. Treasury bonds, with a decrease of $11.8 billion in October, bringing its total holdings to $688.7 billion, the lowest level since 2008 [1][3] - While Japan and the UK increased their holdings of U.S. Treasuries by $10.7 billion and $13.2 billion respectively, Canada significantly reduced its holdings by $56.7 billion [1][3] Group 1: China's Actions - China's reduction of U.S. Treasury bonds is part of a long-term strategy, consistently decreasing its holdings over the years, despite occasional increases in short-term bonds [3][5] - The ongoing reduction signifies the largest pressure China has exerted on the U.S. economy in 17 years, indicating a strategic shift in its financial posture [3][5] Group 2: Implications for the U.S. - The decrease in Chinese holdings is expected to raise U.S. Treasury yields, leading to higher interest payments for the U.S. government [5] - An increase in the supply of U.S. Treasuries in the market could affect the effectiveness of Treasury auctions, potentially leading to more bonds being bought back by the Federal Reserve, which may increase inflation risks [5] Group 3: China's Intentions - Despite the reduction, China is not seeking to destabilize the U.S. economy dramatically; instead, it is managing its holdings to avoid market shocks, reflecting a sense of responsibility in international markets [6] - The rationale behind China's actions includes concerns over the rising U.S. debt levels, which are perceived as a ticking time bomb, prompting China to diversify its reserves by increasing gold purchases [8] Group 4: Global Context - Other countries, including some U.S. allies, are also reducing their U.S. Treasury holdings, indicating a broader concern about the risks associated with U.S. debt [8] - Japan, while increasing its holdings, has also shown signs of anxiety regarding U.S. debt risks, suggesting that it may not be as stable in its investments as it appears [8]