Arabic AR Chinese (Simplified) ZH-CN English EN French FR German DE Japanese JA Portuguese PT Russian RU Spanish ES Ukrainian UK

Russia dumps US debt, reducing holdings to lowest level in a year

Latest news

    The Central Bank of Russia has sold $3.1 billion in US Treasury bills as of February, reducing its investment in American debt to the lowest level since March last year.

    Moscow still occupies the 16th position among the largest holders of US government bonds. Russia has cut its holdings for the third consecutive month.

    Read more

    Russia & China dumping US treasuries

    Russian Finance Minister Anton Siluanov said in February that Russia is not sticking to American debt and can replace it if it finds an adequate substitution elsewhere. “We are ready to invest in the securities issued by other sovereign states, the main thing is that they should be low-risk and accordingly bring income,” Siluanov said at the time.

    China remains the largest buyer of US debt, increasing its holding by $8.5 billion to $1.18 trillion in February. Analysts say China can use its vast holdings of US treasuries as a bargaining chip in the trade dispute with President Donald Trump’s administration.

    However, analysts doubt Beijing would start dumping American treasuries. “It is more effective as a threat. If they sell, they have no threat. It would only escalate the situation and eliminate their leverage,” according to bond investor Jeff Gundlach.

    Global markets are still awaiting China’s reaction to the bilateral trade barriers imposed in March, since the data from the US Treasury comes with a two-month delay.

    “That’s more of a slow-burning story. It’s a bit too soon for any tariff talk to have an impact of China’s Treasury holdings,” said Gennadiy Goldberg, interest rates strategist at TD Securities in New York, as quoted by Reuters.

    View the original article: https://www.rt.com/business/424367-russia-dumps-us-treasuries/?utm_source=rss&utm_medium=rss&utm_campaign=RSS

    For more stories on economy & finance visit RT’s business section

    In the same category are

    Over 230 detained in Armenia as mass opposition protests continue (PHOTOS) At least 233 people have been detained by police in the Armenian capital, Yerevan amid mass opposition protests against former President Serzh Sargsya...
    Russian ice hockey legend Viacheslav Fetisov turns 60 Legendary Russian and Soviet ice hockey player Viacheslav Fetisov, who spent more than 10 years in the NHL, winning two Stanley Cups with the Detroit ...
    ‘The real crime was his own firing’: Nunes, Goodlatte and Gowdy savage Comey Congressional Committee chairs Devin Nunes (R-CA), Bob Goodlatte (R-VA), and Trey Gowdy (R-SC) savaged former FBI director James Comey, after his memo...
    US students usurp Columbine anniversary despite school’s opposition to #NationalWalkout (VIDEOS) From the White House lawn to Parkland, Florida, thousands of students across the US are commemorating the 19th anniversary of Columbine by staging a n...
    Kosovo has no foreign policy, ‘led by America’ – PM Kosovo is “part of a club led by America” and is happy to have Washington manage its foreign policy, the prime minister of Serbia’s renegade province ...
    ‘Exploding’ ants discovered: Kamikaze insects kill predators with toxic… well, selves A new species of kamikaze-style ants has been found in Borneo, Southeast Asia. The ‘exploding’ critters sacrifice themselves to attack predators and d...

    Leave a comment

    Your email address will not be published. Required fields are marked *