Trump Says He Could Impose More Tariffs on China

The transcript discusses the ongoing trade tensions between the US and China, focusing on tariffs and their potential impact on the Chinese economy. It highlights the Trump administration's stance on maintaining tariffs until China fulfills its promises, and Beijing's concerns about the lack of a clear path to a lasting deal. The transcript also covers China's strategy regarding its US Treasury holdings, noting a decline in these holdings and China's efforts to diversify its investments, including increasing gold purchases. Despite speculation, China is unlikely to weaponize its Treasury holdings due to potential adverse effects on its economy.

What trend has been observed in China's holdings of U.S. Treasurys over the past several years?

Why is China unlikely to significantly cut its holdings of U.S. Treasury bonds?