When the global economy is falling like dominoes, there is nothing more worrying than seeing the big players start to pull out.
Recently, from Japan to the United Kingdom, everyone has been quietly selling their US debt, as if these papers have suddenly become a hot potato.
You've got a bunch of bonds, and you thought it was a good business that wouldn't lose money. As a result, when I woke up, these bonds became hot potatoes, and no one wanted them. This is the dilemma that some countries are currently facing.
As the world's largest economy, the bonds issued by the United States have always been regarded as a "safe haven" for investment. However, the days of solitary beauty on this side of the landscape seem to be over, and U.S. debt now looks more like a heavy burden.
Japan, a big buyer of U.S. bonds, suddenly reduced its holdings by $37.5 billion overnight. This is not a small number, but a huge market signal. Not to be outdone, the UK sold $17.9 billion.
This kind of chain reaction scene makes the atmosphere in the market extremely tense. Investors are starting to wonder if this is a sign that cracks are beginning to appear in the credit of the United States.
At the same time that countries began to reduce their holdings of U.S. bonds, Japan's fifth-largest bank issued a warning of "thunder", which undoubtedly dropped another bombshell on the already turbulent market.
This behavior of banks is not just a financial problem, but also a major blow to the confidence of the entire financial system. The risks of this ripple effect are clearly beginning to begin to reveal.
China plays an extremely important role in this international financial drama. Faced with economic pressures from the United States and instability in global markets, China has chosen a more prudent strategy.
Although China holds a large amount of U.S. debt, it has been acting with restraint. In this possible financial war, China appears more like a sober observer, neither rushing to sell nor blindly increasing its holdings, but looking for a balance to ensure that its economic security is not affected too much.