If Trump starts a war with China, I guess China won't be lending us any money for it, right?

[no_hypocrisy]

[Horse with no Name]

1. But I bet the clod is dumb enough to ask n/t

[Achilleaze]

2. But the IKGOPR* will always have greazey pals in the Evil Empire

[GreenEyedLefty]

3. Good point, they can certainly demand payment in full of the current debt.

[A HERETIC I AM]

14. Ummmmm...no they can't

The "debt" China holds of ours is in the form of US Treasury Bonds. They are not "Putable" bonds, meaning the holder can in NO WAY WHATSOEVER demand redemption from the US Treasury before the maturity date, and they are in no way comparable to a loan that can be called in.

It isn't as if some representative of the US Government went to the Chinese, hat in hand, and asked to borrow a trillion dollars. The Chinese central bank has PURCHASED US Debt securities of their own volition and no one held a gun to their heads and made them do it.

They are free to sell them on the open market, however and have been doing so of late, so much so that they are no longer the largest holder of such securities.

[NewJeffCT]

4. don't worry, they can just borrow more from Social Security

since it still has a surplus

[JNelson6563]

5. I wonder how sales of Treasury notes will be going....

Lots of things to keep an eye on.

[A HERETIC I AM]

16. After a spike up in November, volume seems to have settled back to around average

This link will open a spreadsheet showing trading volume of the various maturities back to July of 2015


http://www.sifma.org/uploadedFiles/Research/Statistics/StatisticsFiles/CM-US-Bond-Market-Trading-Volume-SIFMA.xls?n=64000

[beachbum bob]

6. china can send US economy into ruins with words...trump either doesn't care or

is too stupid to realize


and american families and workers will pay for it

[Dave Starsky]

9. I disagree with you.

Trump doesn't care AND he's too stupid to realize.

[beachbum bob]

10. lol...but he is not surrounded by stupid people...THEY know what can and will happen

[malaise]

7. They may just demand payment for the current debt

but years ago I posted here that China would not receive a red penny of that debt.
This is imperialism on steroids

[A HERETIC I AM]

15. No, they can't malaise

Please see this post of mine from above.

[neverforget]

8. Money will be the least of our worries.

A war with China would probably go nuclear when either side is losing.

[Dave Starsky]

11. We will not win a war with China, period.

And it would probably go nuclear fairly quickly.

[alarimer]

12. One reason for trade with other countries is to prevent war.

War with China means no more steel. Steel we no longer make in large amounts, with factories that are mostly gone or turned into something else. So forget building just about anything. It would be an utter disaster and we would lose. These people are fucking idiots.

[Initech]

13. And they need to be removed before they can declare war.