Trump threatens to default on bonds owned by Chinese holders
No memes, what would be the consequences of this realistically?
Trump threatens to default on bonds owned by Chinese holders
seeing what happened today?
sp500 crabs
ATH by end of April
US debt becomes worthless. federal government now cant raise money. need to print dollars. weimar tier hyperinflation. fed goes bankrupt.
Good luck issuing new ones after that.
Not just the government but American companies won't be able to get loans either.
The debt every county on earth has been buying turns to poison with a pen stroke, and we get to post pepes and shit post as we watch it destroy them. And us.
china will simply issue court orders to impound US property in all countries until debt is paid. including US military and naval property
literally ogre
the consequences of this realistically?
The supreme court smacks it down as unconstitutional.
The credit rating of the United States is destroyed.
The dollar loses its buying power worldwide.
the complete collapse of the USD as the world’s currency and solidifying America as part of the third world.
if the US stops being AAA he will get accidented'd
lol
fucking lel
No more loans ever
Explain why the rest of the planet would care about chinksects getting BTFO?
EU
Hate China but are too limpdick to do any confrontation themselves, should be thankful
Africa
Being herded into factories and literally whipped by chink overseers, would be glad to be free from CCP neocolonialism
All Asia outside of China
China has claimed the borders or maritime territory of every single one of its neighbors, all of them would be happy to see the rat nest burn
South America
Irrelevant but chink overproduction and dumping probably screws their industries over, not to mention chinks overfishing destroying South American oceans
Middle East
Irrelevant, see above
If you refuse to pay your debts to one debtor, why the fuck would any other debtor trust you?
You've already shown that you're perfectly willing to just default on the loan when it's convenient for you.
Creditworthiness.
we can reneg on our credit obligations depending on the whims of a president
we can not pay you if we dont like you >:(
Nobody is investing in your shithole after that. The US dollar's status as world reserve currency only exists because the rest of the world allows it to exist. Dedollarization can happen rapidly and will leave your country poor overnight. You do not have the cards.
I don't hate China, China has never called me a freeloader.
China spends three decades fighting an undeclared war against America
Rampant theft, currency manipulation, IP abuse, social infiltration and cultural influence ops all aimed to eat the floor out from beneath America's feet
US responds
"Aiiieee le heckin crediterino"
The rest of the world can be reasonable and understand that they are spared by virtue of not doing what China does and conspiring to kill America. Or they can whine that a nation at war seized enemy assets. Their choice will reveal their real mindset towards us.
Too bad, shouldn't have picked a fight with us first and had JD Vance come throw a tantrum at us. I hope they kill you.
emotional response
Show tits.
PACTUS is not a bond and you should buy it. Thank yourself later.
realistically
It would destroy the international market for Treasuries, drive interest rates through the roof, and bankrupt the United States.
We've seen it before, such as when Argentina refused to pay off its bonds.
I'm just repeating the same lines you guys use used on us Europeans with Russia. Pic related. China fucking you over is not my problem. I hope they kill you.
Now shove the marker up your butt.
social infiltration and cultural influence ops all aimed to eat the floor out from beneath America's feet
Sir, it's America that is exporting immigrants and buttsex abroad
Uncle Sam has done some funny business about not honouring gold convertibility but this would be the first time in the 350 years he has existed that he hasn't ponied up dollars as and when they come due. Intentionally defaulting immediately changes the dollar from the most solid currency in the history of our species to a banana republic currency. It will take a century to crawl back into respectability after that.
It would also make it impossible to roll US Treasury debt held by external counterparties, or at the very least make them demand 3%-4%-5% higher yields for doing so. Bad!
The fact he is even considering this at all - when he can literally photocopy dollars into existence on demand - means he really doesn't know what the fuck he is doing
credit le doesn't matter
do mutts have no idea what "money" is?
Lol. Should of followed our copyright laws.
Might be fine as long as we make it clear we're only doing it to China on the grounds that they're threatening us or ignoring copyright or some shit.
stop and think rationally for a second, would you give someone a loan after they refused to pay back your neighbor?
when he can literally photocopy dollars into existence on demand
That would cause inflation right? Trump would look bad if he causes inflation (though he probably won't care).
The government issues the money in the first place. It doesn't need to "raise money". These bonds are all purchased with dollars in the first place.
That being said, they should honor existing contracts and pay them out as stipulated. They issue the money, they can always afford the interest payments.
People shit bricks, Treasuries hit 10%, before everyone realises there's no alternative to the USD, and carries on like nothing happened.
good luck
those that don't buy suddenly have oil under their feet.
this will all work better after we kill a couple million foreigners
now what, nigger.
The US will *have to* default on all foreign bonds if the tariffs last. They may even try to invalidate foreign held dollars. They couldn't afford to do otherwise in that scenario.
The entire world wanting US dollars for their creditworthiness and seeing the US as a safe haven for investment is what prevents that inflation from happening. In fact you get to export your inflation to the entire planet while buying real goods with infinitely printed monopoly money. Trump is in the process of trying to destroy this and turn the US into a favela tier shithole
Explain why the rest of the planet would care about chinksects getting BTFO?
because our glorious leader may blow them the fuck out next.
there's no alternative to the USD
lol
lmao even
Name it. Until the world comes together and forms an international trading currency USD remains king. Not enough RMB or EUR out there to do the job of the USD
gold idiot