Share This Article

Facebook LinkedIn
Twitter Reddit
Print Email
Pinterest Gmail
Yahoo
Money Morning
×
  • Invest
    • Best Stocks to Buy
    • Stock Forecasts
    • Stocks to Sell Now
    • Stock Market Predictions
    • Technology Stocks
    • Best REITs to Buy Now
    • IPO Stocks
    • Penny Stocks
    • Dividend Stocks
    • Cryptocurrencies
    • Cannabis Investing
    • Angel Investing
  • Trade
    • How to Trade Options
    • Best Trades to Make Now
    • Options Trading Strategies
    • Weekly Trade Recommendations
  • Retire
    • Income Investing Guide
    • Retirement Articles
  • More
    • Money Morning LIVE
    • Special Investing Reports
    • Our ELetters
    • Our Premium Services
    • Videos
    • Meet Our Experts
    • Profit Academy
Login My Member Benefits Archives Research Your Team About Us FAQ
  • Invest
    • Best Stocks to Buy
    • Stock Forecasts
    • Stocks to Sell Now
    • Stock Market Predictions
    • Technology Stocks
    • Best REITs to Buy Now
    • IPO Stocks
    • Penny Stocks
    • Dividend Stocks
    • Cryptocurrencies
    • Cannabis Investing
    • Angel Investing
    ×
  • Trade
    • How to Trade Options
    • Best Trades to Make Now
    • Options Trading Strategies
    • Weekly Trade Recommendations
    ×
  • Retire
    • Income Investing Guide
    • Retirement Articles
    ×
  • More
    • Money Morning LIVE
    • Special Investing Reports
    • Our ELetters
    • Our Premium Services
    • Videos
    • Meet Our Experts
    • Profit Academy
    ×
  • Subscribe
Enter stock ticker or keyword
×
5 Ways to Beat the Fed (and Crush Inflation)

Email this Article

Send with mail | ahoo instead.
Required Needs to be a valid email
Required Needs to be a valid email
BREAKING: U.S. Debt to China Will Destroy the U.S. Dollar
http://mney.co/1dxtbFw
Required Please enter the correct value.
Twitter

BREAKING: U.S. Debt to China Will Destroy the U.S. Dollar

By Money Morning Staff Reports, Money Morning • June 10, 2015

View Comments

Start the conversation

Comment on This Story Click here to cancel reply.

Or to contact Money Morning Customer Service, click here.

Your email address will not be published.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

Some HTML is OK

The amount of U.S. debt owned by foreign nations has never been higher.

Since Sept. 30, 2014, the U.S. Treasury has accumulated $17.8 trillion worth of debt. That's roughly 103% of the total U.S. GDP in 2014.

And 34% of that debt - $6.1 trillion - is owned by foreign governments. US Debt

China is the largest holder of U.S. debt. At the end of March, the Treasury Department announced that China owned $1.261 trillion worth of U.S. government securities. That's more than 20% of the U.S. total foreign debt.

That means China now holds the power to drastically impact interest rates in the United States.

You see, the problem arises when countries like China start dumping that debt.

According to the Council on Foreign Relations (a non-partisan think tank), "A foreign sell-off of U.S. securities could drive up U.S. interest rates and render the nation's formidable stock of debt far more expensive to service... No one knows in advance when the tipping point will be reached, but the damage brought about by higher interest rates and slower economic growth will be readily apparent afterward."

We've seen China exercise this power before. During the last six months of 2014, China dumped more than $75 billion worth of U.S. bonds.

What China will do with our debt is such a major concern that the CIA's Asymmetric Threat Advisor Jim Rickards has just released a warning for all Americans...

"The foreigners are now dumping Treasuries and if no one buys it, guess what, interest rates go up," Rickards said. "That'll sink the stock market, that'll sink the housing market. Higher interest rates mean the debt gets higher, so interest rates go up some more."

With these actions, China has taken direct aim at the U.S. dollar. And that's just one of the ways China is engaging in financial warfare against the United States.

This is just one of five "flashpoints" that will trigger the U.S. dollar's demise. Some of the others are already happening. Continue here to get all the dollar-ending catalysts today...

Follow us on Twitter @moneymorning

Join the conversation. Click here to jump to comments…

Login
guest
guest
8 Comments
Oldest
Newest Most Voted
Inline Feedbacks
View all comments
Dana Rockwell
Dana Rockwell
7 years ago

Really? You expect one to continue to read an article that relies on the Council of Foreign Relations as its' source of information? The CFR is the promotional arm of the Ruling Elite in the United States of America. Most influential politicians, academics and media personalities are members… Its’ “experts” write scholarly pieces to be used in decision making, the academics expound on the wisdom of a united world, and the media members disseminate the message… Please don't waste our time.

0
Reply
William A. Delaney
William A. Delaney
7 years ago

It really doesn't matter where information comes from if it is real. We were warned of possibilities far back as Woodrow Wilson and some of us who are not warped in status quo, common sense reasoning have tried to offset what we see as handwriting on the wall.

European's anal mentality has been exposed since ancient times and consequences have always been the same. European countries tend to decay internally with a normal time frame near 200 years. If you are not part of the solution, you are part of the problem!

0
Reply
Bill
Bill
7 years ago

better learn to speak Chinese – because they are the ones who will soon take over the fiancées of this country. along with the muslims

0
Reply
sionetamasi, ikimata
sionetamasi, ikimata
7 years ago

…thank you William A. Delaney,

…the understanding of the United World, we need to share ideas, help each other to make this Planet a better place for you and for me?… and the Entire Human Race?

…"disseminating ideas, was a success or a failure?"…

…thanking you,

Sionetamasi Ikimata (NZ)

0
Reply
Patriot M
Patriot M
7 years ago

Obviously higher import taxes need to be levied against chinese imports thus making goods from china more expensive to import and sell. As well our congress should consider supporting less tax tariffs and breaks for companies who produce tech and renewable resource products along with agriculture within our borders. These things combined will not only promote national strength in the dollar but also offset debt to foreign nations who most likely will not like the import increase. And stop selling US soil to corporate foreign nations not only is it a conflict of interest but allowing them to fly a foreign flag is an insult to all the men and women who have died for it. Since we will be spending the money into the national defense anyway.. I'll add as a military strategy perhaps lifting certain armed forces restrictions in Japan maybe funding some joint advanced aircraft production facilities. Producing stockpiles of cutting edge airpower in asia will certainly make china rethink overstepping international free spaces. If they choose to get ugly we have support on hand as well id imagine it would bolster friendly relations with japan.

0
Reply
Jn
Jn
7 years ago

The U.S. really can't afford to make China any madder. They already know they will never get repaid.

0
Reply
Jack
Jack
7 years ago

When China floods their market with more worthless currency then it's time to bug the hell out. They want to become the next world currency and drive the greenback into the dark ages, that's their plan and ultimately when they stop buying oil then the s*** is going to hit the fan. Look at all the building that went on in the past decade with no occupancy. They are waiting and hoping the world will come knocking when they create what they set out to create.

0
Reply
Rufus
Rufus
7 years ago

Why and I mean why did this countries government and industries allow a $trillion plus depth to China. US Industry (clothing, computers, cell phones, etc) chasing the lowest denominator(cheap wages, manufacturing costs) to offer cheap products in america. Now look at the resulting expense,"CHINA NOW CONTROLS OUR ECONOMY" ~~GREAT JOB WASHINGTON! The middle east is now joining with massif dropping of oil costs with thousands already laid off in that industry and Russia is jumping in as well. As the bear stock market continues and with minor gains and large losses(lots of red and minimal green) and that effect on the economy and their retirement funds. Republican comments on slashing medicare/social security funding isn't helping either as that news will have a large negative effect on our economy.

0
Reply
LIVE
Visit Money Morning Live


Latest News

March 29, 2023 • By Chris Johnson

Commercial Real Estate is Feeling the Aftershocks of the Financial Crisis

March 29, 2023 • By Kenny Glick

Here's How You Can Find a New Trade If You Just Missed Your Entry

March 29, 2023 • By Garrett Baldwin

It's Not You... It's the Market
Trending Stories
ABOUT MONEY MORNING

Money Morning gives you access to a team of market experts with more than 250 years of combined investing experience – for free. Our experts – who have appeared on FOXBusiness, CNBC, NPR, and BloombergTV – deliver daily investing tips and stock picks, provide analysis with actions to take, and answer your biggest market questions. Our goal is to help our millions of e-newsletter subscribers and Moneymorning.com visitors become smarter, more confident investors.

QUICK LINKS
About Us COVID-19 Announcements How Money Morning Works FAQs Contact Us Search Article Archive Forgot Username/Password Archives Profit Academy Research Your Team Videos Text Messaging Terms of Use
FREE NEWSLETTERS
Total Wealth Research Power Profit Trades Profit Takeover This Is VWAP Penny Hawk Trading Today Midday Momentum Pump Up the Close
PREMIUM SERVICES
Money Map Press Home Money Map Report Fast Fortune Club Weekly Cash Clock Night Trader Microcurrency Trader Hyperdrive Portfolio Rocket Wealth Initiative Extreme Profit Hunters Profit Revolution Warlock's World Quantum Data Profits Live Trading Alliance Trade The Close Inside Money Trader Expiration Trader Flashpoint Trader Darknet Hyper Momentum Trader Alpha Accelerators Weekly Profit Cycles Brutus Alerts

© 2023 Money Morning All Rights Reserved. Protected by copyright of the United States and international treaties. Any reproduction, copying, or redistribution (electronic or otherwise, including the world wide web), of content from this webpage, in whole or in part, is strictly prohibited without the express written permission of Money Morning.

Address: 1125 N Charles St. | Baltimore, MD, 21201 | USA | Phone: 888.384.8339 | Disclaimer | Sitemap | Privacy Policy | Whitelist Us | Do Not Sell or Share My Personal Information

wpDiscuz