The U.S. Treasury Debt vs. the U.S. Dollar Does U.S. Treasury Debt refer to the U.S. Treasury Bonds?

1.The United States buys its own Treasury bonds, why does the dollar depreciate? It's going to be bought, isn't it less money, how can it depreciate?

If you watch "Currency Wars", you will not have any doubts, because the United States has no right to issue currency, only to sell bonds to the Federal Reserve, and the Federal Reserve will issue banknotes! The Federal Reserve is a private bank!! A typical empty glove white wolf!

In this way, there is a lot of money in the American market for no reason!

2.Buying U.S. Treasury bonds doesn't give the U.S. dollar to the U.S., and doesn't the dollar depreciate? Is that so?

China's purchase of U.S. Treasury bonds will indeed increase the amount of money in circulation in the United States, otherwise why did the U.S. Treasury Secretary persuade China to buy U.S. Treasury bonds during the financial crisis?

3.See some news that the dollar will depreciate if you sell U.S. Treasury bonds?

The main reason for this is the reason for the country's confidence, throwing the dollar shows that everyone does not trust the dollar, thinking that he will fall, for example, under the financial crisis, the United States started the money printing machine, everyone must not be optimistic about him, the result of the sale leads to oversupply, and the result has changed!

I just don't understand your summary! But I believe that if you solve the above problem, you should solve your doubt, right?

Let's start with the quantitative theory of money.

m*v=p*y

M is the money supply, V is the velocity of money, P is the price level, and Y is the national product.

1.You don't have to doubt that the Fed's process of buying bonds is actually a process of money creation, of printing new money, of expansionary monetary policy.

2.Buying U.S. Treasury bonds does increase the U.S. money supply, which directly leads to a decline in U.S. interest rates, resulting in a decline in the exchange rate (depreciation); But at the same time, bond purchases reduce the net outflow of capital from the United States, leading to an increase in the exchange rate (appreciation); The reality is that the latter is more important, so the dollar strengthened a few days ago.

3.Selling U.S. assets will lead to a depreciation of the U.S. dollar. Combined with the second point, it can be understood.

There is no question of being miserable or miserable, one party is miserable and the other party is certainly not miserable, depending on what you think.

1 The United States buys its own Treasury bonds, but his dollars are printed overtime, will the dollar not depreciate?

2 If other countries are buying U.S. Treasuries, it will lead to an increase in the value of the dollar.

3 In the same way, if someone sells US Treasury bonds, it is equivalent to being unoptimistic about the prospects of the US economy, and the dollar will depreciate.

Because with the current monetary system, even if the United States prints dollars, it is still the dollar that is pegged to ** (the United States can control all resource commodities in this way). If a crisis comes, only holding US dollars (US bonds) is the safest. Although he is the root of all evil, at the same time, only the bell is the one who unlocks the bell.

With the continuous development of social economy, we will encounter various problems in real life, especially for whether the US debt is US debt.

In fact, we need to know that U.S. bonds are U.S. Treasury bonds, but many of our friends like to abbreviate them when investing, so we often hear the word U.S. bonds.

According to relevant information on the Internet, the U.S. Treasury bond is what we usually call the U.S. Treasury Bond, and the U.S. Treasury bond is owned by the U.S. Treasury Department.

On behalf of the Confederation**.

According to the different ways of issuance, the U.S. treasury bonds can be divided into three major types: certificate treasury bonds, physical coupon treasury bonds and book-entry treasury bonds, so most investors actually buy these three types of treasury bonds when investing, and many countries are buying U.S. treasury bonds.

When you buy one of these three types, you are also buying.

In other words, the three-month or six-month treasury bonds are auctioned every Monday, the one-year auction is held in the third week of each month, and the two-year auction is held in January, February, Shenqing October and other months. After a week, there will be a correlation pricing, and at the end of the month on the 31st, there will be a correspondence delivery, if you are interested in US Treasury bonds, then these things must be understood, because only in this way can you better help many investors.

To sum up, we can clearly know that U.S. bonds actually refer to U.S. Treasury bonds, and many investors actually buy U.S. Treasury bonds when buying U.S. bonds.

Yes, the meaning of the word refers to the U.S. Treasury bonds, which are also a financial product that can be made for investment.

Yes, and the meaning of this word is that the U.S. Treasury Department will issue some national bonds on behalf of the local **.

Yes, that's what it means, and it's also a very simple representative word, that's why there are U.S. bonds.

U.S. Treasury bonds refer to the national bonds issued by the U.S. Treasury Department on behalf of the federal government, and now many investors in the market are buying, so what is the use of U.S. Treasury bonds?

1. Low risk: Since the reform and opening up, China's exports are denominated in US dollars, so we have a large amount of US dollars in our foreign exchange reserves. Treasury bonds are less risky, and the United States is a big country, so it's even more ***.

2. Stable foreign exchange: The U.S. economy is growing steadily, the U.S. dollar is an international currency, and the purchase of U.S. Treasury bonds can increase the value of foreign exchange to avoid foreign exchange shrinkage.

3. National strategic interests: China has a large amount of dollar assets, and the United States must attach importance to China in order to achieve dialogue on an equal footing.

4. International stability: As a developing country, we need stability even more, so as to stabilize the United States and achieve a win-win situation.

5. Stabilize the financial market: maintain national economic security and prevent financial risks.

That's all for what U.S. Treasuries are for.

U.S. bonds refer to the Treasury bonds issued by the United States, so it is one of the types of Treasury bonds that we often refer to. In the United States, Treasury bonds are usually issued through regular auctions, and these auctions are handled by the U.S. Treasury Department, hence the name "Treasury bills". U.S. Treasury bills have different repayment terms.

The shortest repayment period is 4 weeks, also known as a one-month Treasury bill. The longest repayment period is 30-year Treasury bills, in addition to 5-year and 10-year Treasury bills. In the eyes of most people, U.S. bonds are the safest and most reliable.

Extended information: 1. Treasury bonds.

Treasury bonds, also known as national public bonds, are the creditor's rights and debts formed by the state on its credit basis, in accordance with the general principles of bonds, by raising funds from the society, and are issued by **** to investors, promising to pay interest and repay the principal at maturity. Since the issuer of treasury bonds is the state, it has the highest creditworthiness and is recognized as the safest investment vehicle.

2. Whether the issuance of treasury bonds is fiscal policy or monetary policy.

The issuance of treasury bonds belongs to fiscal policy, which refers to the guiding principle of fiscal work stipulated by the state in accordance with the tasks of political, economic and social development in a certain period, and affects and regulates aggregate demand through changes in fiscal expenditure and tax policy; Monetary policy refers to the measures taken by the bank to influence economic activities, especially the measures to control the money supply and regulate interest rates.

3. Whether the treasury bonds are simple interest or compound interest.

Treasury bonds are simple interest, and the interest on treasury bonds will not be counted in the principal amount for interest calculation, so they are simple interest. Compound interest means that the interest is calculated into the principal and then calculated together with the previous principal, so compound interest will be higher than simple interest. However, unless the principal amount is more than a certain extent, whether it is compounded interest has no impact on the overall income.

4. The policy function of national bonds.

Macroeconomic adjustment: The state issues treasury bonds to adjust the people's economic income at the macro level;

Replenishing the fiscal deficit: When the difficulty of raising taxes is scarce, and when it is impossible to increase the issuance of currency, it has no choice but to use the method of issuing treasury bonds to make up for the fiscal deficit;

Raising construction funds: National construction requires a large amount of money, and short-term funds can be turned into long-term funds through the issuance of treasury bonds;

Adjust the amount of money and interest rate: The issuance of treasury bonds can adjust the circulation rate of money.

5. Can treasury bonds be withdrawn in advance?

Yes, early withdrawal will result in loss of interest, early withdrawal of certificate treasury bonds and savings treasury bonds will result in loss of interest, and early withdrawal of book-entry treasury bonds will not result in loss of interest. Note: Early withdrawal of treasury bonds not only loses interest, but also incurs a handling fee, which is based on the amount withdrawn.

It can be seen that it is not cost-effective to withdraw treasury bonds in advance, and everyone must do a good job of asset planning before buying treasury bonds.

U.S. Treasury bonds are national bonds issued by the U.S. Treasury on behalf of the federal government. The U.S. national debt has been in existence since the founding of the country and has been increasing, and the U.S. national debt has a non-negligible role in making up for the country's fiscal deficit, mainly for necessary expenditures on medical care, social security and other projects.

About 25% of the U.S. national debt is held by foreign countries, of which China accounts for the highest proportion. Speaking of which, you may want to ask, the United States has issued so many bonds, will it maliciously print money and cause an economic crisis when it can't pay it back? In fact, this is unlikely, because after all, the foreign debt of the United States is only a minority, and the vast majority of them are still local investors in the United States.

Features of U.S. Treasury bonds.

The United States is an economic power in the world, and its treasury bonds have a relatively high degree of credibility, and the United States has a history of issuing treasury bonds for more than 200 years, and there has never been a default so far. The interest rate on Treasury bonds is also relatively stable, and the yield on US Treasuries is now close to 3% and is likely to continue to rise.

According to the maturity of the bond, U.S. Treasuries are mainly divided into short-term, medium-term, and long-term. Short-term U.S. Treasury bonds are generally issued at a discount, and the principal is repaid at the face value of the bond at the end of the repayment period, with no interest paid. During the repayment period, the interest of medium- and long-term treasury bonds will be settled every six months, and the principal will be repaid in a lump sum after maturity.

We know that the national debt is one of the safer assets, and as a result, as long as the country exists, there is no need to worry about not paying the debt. However, if a country issues too many prudent treasury bonds, there is still a great risk, and China has a lot of US bonds. Next, does the country have a reason for the erection of U.S. debt?

First, investment needs. Treasury bonds are bonds issued on the basis of national credit, and US bonds are guaranteed by US credit, while the United States is a superpower, with a developed economy, the risk of buying treasury bonds is small, the yield is stable, and it is a relatively stable investment.

II. International Strategic Considerations. China has a large number of U.S. Treasury bonds, which bind China's economy and the U.S. economy to a certain extent, which is conducive to the development of China's economy, and the liquidity of U.S. Treasury bonds is very good, and major financial institutions invest in U.S. Treasury bonds. In short, U.S. debt can be cashed out on the market with the utmost ease, and U.S. debt can be turned into dollars at any time.