China Vows To Not Dump It's US Debt

Beijing Vows Not To Use U.S. Debt For Political Gain -- Washington Times

Rejects general's idea of 'dumping' bonds.

A top Chinese official said Tuesday that Beijing will not use its vast holdings of U.S. government debt for political gain, just a few days after a forecast projected that the U.S. national debt is on course to triple to $20 trillion over the next decade.

China holds the world's largest cache of foreign exchange reserves, which soared more than $450 billion last year to reach $2.4 trillion at year's end. Concerns about Beijing's plans for its holdings have peaked in recent weeks after Chinese military officials suggested using that debt to pressure the United States in other policy areas.

But a top Chinese state financial officer Tuesday rejected that approach.

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More News On China And U.S. Debt

China still keen to purchase US bonds -- Financial Times
China says committed to U.S. debt, wary on gold -- Reuters
China favors U.S. debt over gold -- Investor.com
China's investment in U.S. treasury bonds a market, not political, behavior: official -- Xinhuanet
China Disses Gold: “Not a Great Investment, Long Term” -- Barron's