🇨🇳 China’s U.S. Debt Holdings Hit Multi-Decade Low
The global financial landscape is shifting as China continues to aggressively pivot away from U.S. dollar-denominated assets. Recent data shows a significant milestone in Beijing's long-term de-dollarization strategy.
📉 Key Data Breakdown
Market Share: China’s share of foreign-held U.S. Treasuries has fallen to 7.3%, the lowest level since 2001.
Current Holdings: Total holdings now sit at approximately $683B, a massive decline from the $1.3T peak seen in 2013.
Alternative Reserves: While trimming debt, the People’s Bank of China (PBOC) has boosted gold reserves for 15 consecutive months, with gold holdings now valued at roughly $370B.
🔍 Why the Shift?
Risk Diversification: Reducing "concentration risk" by moving away from a single currency.
Geopolitical Hedging: Protecting national reserves against potential future sanctions or freezes.
Gold Accumulation: Strengthening the yuan’s backing by increasing the percentage of hard assets in the national portfolio.
💡 Market Sentiment
Despite China’s sell-off, the U.S. Treasury market remains stable due to increased demand from other major holders like Japan and the UK. However, for crypto and macro investors, this trend highlights the growing global appetite for "hard assets" over sovereign debt.
The trend is clear: Global reserves are diversifying. #China #Economics #Gold #Macro #USDebt #Finance #Binance$BIO
