China's Global Times (opinion piece) says the country likely to reduce its holdings of US Treasury bonds
This really should be read as a bit of a troll from the Global Times, here goes:
GT citing 'experts':
- "China will gradually decrease its holdings of US debt to about $800billion under normal circumstances. But of course, China might sell all of its US bonds in an extreme case, like a military conflict," Xi Junyang, a professor at the Shanghai University of Finance and Economics, told the Global Times on Thursday.
- Zhou Maohua, an analyst at the Everbright Bank, said that although the US has never defaulted on its federal debts, it's unlikely that US Treasury bonds will be dumped in the short term, and holders of those bonds — including China — face increasing default risks in the long term.
- "Not defaulting before does not mean it won't default in the future, and risks are accumulating with the ballooning debts and the slumping economic outlook in the US," he told the Global Times
Check out the link above for more from the article