What is the impact on the country of the massive sell off of government bonds?

As a result of the massive sell-off, bond-issuing countries will not be able to raise enough money to engage in economic construction and develop social welfare undertakings, and the country's economic development will be hindered.

The behavior of the holding country to sell a large amount of bond-issued treasury bonds will bring great disaster to the other side's economy.

Treasury bonds, also known as state public bonds, are creditor-debtor relationships formed by the state on the basis of its credit and in accordance with the general principle of debt by raising funds from the society. Treasury bonds are bonds issued by the state, is a kind of bond issued by the state to raise financial funds, is issued by the company to investors, promises to pay interest in a certain period of time and repay the principal at maturity of the creditor's rights and debt certificates, because the issuer of national bonds is the state, so it has the highest creditworthiness, is recognized as the safest investment tool.

Treasury bonds are bonds issued by the state because of a fiscal deficit, and if the country cannot raise enough money to carry out economic construction and develop social crafts or welfare undertakings, the country's economic development will be hindered. In the same way, if China sells US Treasury bonds now, the United States will be miserable, and the country may collapse.

Under the current global economic downturn, the behavior of the holding country to sell a large number of bond-issuing treasury bonds will bring catastrophe to the other side's economy, and its severity is no less than the power of a real nuclear war.

The war between countries is not only a matter of guns, but also economic warfare, and the Chinese are particular about it. Reason. Word!

If you punch someone who lent you money, you're going to be fingered! Contrarily. Proper selling of national bonds is beneficial to the country's position in the world.

From the perspective of the country, it is an appropriate amount of government bonds, not a large number of government bonds.

The most direct impact of selling U.S. bonds on the United States is to make U.S. bonds ****, which hits investors' confidence in buying U.S. bonds in the international market and puts the U.S. bond market in a downturn. The sale of U.S. bonds will also depreciate the dollar in the short term, and at the same time, the U.S. will have less funds to raise through U.S. bonds and will have to raise funds through other means, which will increase the financing costs of the U.S. society and slow down the economic development of the U.S. economy.

Extended information: Bonds are issued by debtors such as **, enterprises, banks and other debtors in accordance with legal procedures in accordance with legal procedures and promise creditors to repay principal and interest on a specified date**.

Bonds (bonds debenture) is a kind of financial contract, which is a creditor's rights and debt certificate issued to investors when financial institutions, industrial and commercial enterprises, etc. directly borrow funds from the society, and promise to pay interest at a certain interest rate and repay the principal according to the agreed conditions. The essence of a bond is a certificate of debt, which has the force of law. The bond purchaser or investor and the issuer are in a creditor-debt relationship, with the bond issuer being the debtor and the investor (bond buyer) being the creditor.

A bond is a valuable one**. Since the interest rate on a bond is usually determined in advance, a bond is a type of fixed interest rate (fixed rate). In countries and regions with developed financial markets, bonds can be listed and circulated.

Therefore, the bond contains the following three meanings: the issuer of the bond (**, financial institutions, enterprises, etc.) is the borrower of funds. Investors who buy bonds are the lenders of funds. The issuer (borrower) is required to repay the principal and interest over a certain period of time.

Although there are many types of bonds, they all contain some basic elements in terms of content. These elements refer to the basic content that must be set out on the bonds issued, which is the main agreement to clarify the rights and obligations of creditors and debtors.

The par value of a bond refers to the par value of the bond, which is the principal amount that the issuer should repay to the bondholder after the maturity of the bond, and is also the basis for calculating the interest paid by the enterprise to the bondholder on time.

The repayment period of a bond refers to the period of repayment of the principal of the bond as stated on the corporate bond, i.e. the time interval between the issuance date of the bond and the maturity date. The company should determine the repayment period of the corporate bonds based on its own capital turnover and various influencing factors of the external capital market.

The interest payment period of a bond refers to the time when the interest is paid after the bond is issued. It can be a lump sum payment due or a one-year, semi-annual or three-month payment. Taking into account the time value of money and inflation, the interest payment period has a significant impact on the actual returns of bond investors.

Selling off a large amount of U.S. bonds is not good for China and the United States. The sale of U.S. Treasury bonds has led to a decline in the price of Treasury bonds, which has caused the unsold Treasury bonds to shrink. Moreover, cracking down on the economy of the United States, reducing imports from everyone, many of our export foreign trade enterprises have closed down, workers have been laid off, and the closure of enterprises will also reduce the application of coal, electricity, metal materials, concrete and other raw materials in the upstream and downstream, causing a chain reaction in China's economy.

1. The harm outweighs the good

The U.S. economy will indeed be hit very hard, and a series of events will be played out in turn, such as a decline in U.S. stocks, a rise in debt default, and perhaps a financial turmoil. After China sells off its US bonds, the United States will only suffer more or less harm and survive it. On the contrary, in China's ability to resist financial risks, the ability to work will gradually weaken, which is not conducive to China's exports, and it is also very vulnerable to the severe blow of short-selling institutions.

Therefore, judging from the current situation, selling US bonds will do more harm than good to our country.

2. Economic turmoil

Buying U.S. Treasury bonds is a kind of project investment in itself, and you can get a stable profit. Moreover, in addition to applying to the United Kingdom, it is also to better stabilize the trend of world economic development and prevent the predicament from spreading to our country. China has bought a lot of U.S. Treasury bonds, and in the future, senior executives have increased their holdings, but all of them have moderately increased their executive holdings, and there is no problem.

If many of our countries sell US bonds, causing the world to blindly follow the trend of all US bonds, the adverse impact is unpredictable. The world has sold off US bonds, the price of US Treasury bonds has fallen, and the United States has opened large-scale money printing, causing turmoil in the world economy. At that time, the social and economic development of several countries in the world will be in a desperate situation, and the adverse effects will be unpredictable.

3. The exchange rate of the renminbi should be stabilized

There are many assets in the world that can appreciate in value, such as gold, but they are not as liquid as U.S. Treasury bonds, and they are not so convenient to deposit and transfer. It is also possible to keep the exchange rate of the renminbi stable based on the possession of U.S. Treasury bonds. The exchange rate of the renminbi against the U.S. dollar has dropped sharply, and there have been many voices of shorting the renminbi around the world.

Although in our country it is very serious to show that it has the ability to work to maintain the stability of the exchange rate of the renminbi, it has not been adopted by some people, and in hindsight I believe that everyone knows that the exchange rate of the renminbi against the dollar has now returned to before.

There is harm. Because China's sell-off of U.S. bonds will cause turmoil in the world economy, it will hurt our country.

The impact of the feeling is not large, because our current economic system is very mature, and Zhenqing Eggplant will have this kind of behavior only if it has been carefully considered, and there should be a big change.

Yes, because the sell-off of the U.S. bond market will have a knock-on effect, and China is the world's second-largest economy, so it will create a lose-lose situation.

To put it simply, it increases circulation, which leads to inflation. Printing counterfeit money keeps the rules out of state control and undermines the country's financial system. The same goes for the sale of Treasury bonds, only in real money.

The most important thing about selling treasury bonds is that the country's current policy and the momentum of development are expected to be inconsistent, and the guidelines shown in the policy are inconsistent with the expected development, that is to say, the rapid progress of the market and the conflict between the lag of the policy and the reality are the failures, and it is an unsatisfactory choice in the case of losing confidence.

To put it simply, if you devalue the renminbi in those countries, foreign countries owe too much to China, and once they sell their national bonds, foreign countries will have to create a lot of dollars to repay their debts, and the dollars will be worthless.

It is true that after selling Treasury bonds, the number of dollars in the market increases, and the exchange rate falls, resulting in the dollar becoming a blank sheet and the United States going bankrupt. The current situation, has entered the G2 era, the world is not only the United States a big country, and China is more and more influential on the world stage, we hold a large number of U.S. Treasury bonds, if a large number of U.S. Treasury bonds are sold, resulting in the bankruptcy of the United States, China's economy will inevitably cause huge losses, now the United States has China, China has the United States, the two countries are inseparable, no one can do without whom. As a result, we are not yet ripe to sell US Treasuries in the near term.

In the long run, the US economy has developed, and the sale of US Treasury bonds seems to be more beneficial to our country.

The sale of treasury bonds, the repurchase of treasury bonds by the United States, and the realization of treasury bonds are equivalent to increasing the amount of US dollar currency, resulting in the depreciation of the US dollar.

On the one hand, this affects the exports of the United States, resulting in an increase in the deficit of the United States; On the other hand, for countries that urgently need to introduce advanced equipment and technology from the United States and attract foreign investment, it will affect the import of these equipment, technology, and foreign capital.

Therefore, for developing countries, US Treasury holdings must be approached with caution.

The United States is no longer good? As the snowball of national bonds grows bigger and bigger, what will happen if China sells off a lot of U.S. bonds?

You should ask if there will be anyone to buy if it is sold, the large amount of U.S. bonds purchased by China is scary, and no country dares to take over all the sell-offs, if no one takes over, then the significance of the sell-off is **? It's like if you borrow 100 million yuan from the bank, and you don't repay the money when it expires, the bank will never be stupid enough to let you go to jail and not repay the money.

The ground floor is right. Advice is contrary to ear.

If you can ask this question, it means that you have no interest in investing in bonds at all.

One can think about it, who will sell? Who loses?

If China sells off its U.S. bonds, it will lose China and gain from it.

The United States is no longer good? As the snowball of national bonds grows bigger and bigger, what will happen if China sells off a lot of U.S. bonds?