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Swede

(36,489 posts) Sat May 3, 2025, 09:55 PM May 3

Japan threatens to offload its $1 trillion US Treasury holdings if Trump trade talks don't go well [View all]

Holy Tokyo!!

Japan just pulled out the sharpest blade it’s got in the drawer — $1.13 trillion in US Treasury bonds. That’s what Finance Minister Katsunobu Kato waved in America’s face on Friday, right on national television.

Asked if Japan would ever use its role as the world’s biggest foreign holder of US government debt as a weapon in trade talks with President Donald Trump’s administration, Kato didn’t blink. He said, “It does exist as a card,” and tossed that line like a lit match. “Whether or not we use that card is a different decision.”

https://www.msn.com/en-us/money/markets/japan-threatens-to-offload-its-1-trillion-us-treasury-holdings-if-trump-trade-talks-don-t-go-well/ar-AA1E2Wkn

47 replies

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Japan threatens to offload its $1 trillion US Treasury holdings if Trump trade talks don't go well [View all] Swede May 3 OP

trmp is more dangerous than any terrorist could ever be. spanone May 3 #1

He and his goons are literally doing to the United States what Osama Bin Laden only dreamed of. Initech May 3 #7

But Trump said he had all the cards. Oh wait! Trump lied! Doodley May 3 #2

Trump is incapable of lying SCantiGOP May 4 #14

I totally agree. Abolishinist May 4 #19

Trump is a delusional liar. sop May 4 #32

I was going to come on and say the same thing. NCDem47 May 4 #27

He has been doing this all his life, bullying, lying, cheating, smearing to get his own way. Never occurred to him he Doodley May 4 #45

Oops! Klarkashton May 3 #3

Yeah, who's got the leverage now, donnie? Wounded Bear May 3 #4

re: leverage TnDem May 4 #24

And he destroys their economy with tariffs, they are left with nothing. They don't have to do the entire 1.3 T boston bean May 4 #42

re: Japanese bond market TnDem May 4 #43

No point in beating around the bush with the moron dalton99a May 3 #5

Japanese enid602 May 3 #6

Declare war, get warriors. Oh, well. ❤️ littlemissmartypants May 3 #8

Japan is not the only one who could do this..why doesn't his best ever in history economic team tell him this? Deuxcents May 3 #9

Remember, this is not only trump, but straight slightlv May 3 #10

I was just thinking that. We know Krasnov isn't smart or Buns_of_Fire May 4 #13

The idea is for us to pay down the debt for the billionaires. GoodRaisin May 4 #17

Can't disagree.... in fact, slightlv May 4 #46

This message was self-deleted by its author struggle4progress May 3 #11

That'll leave a mark. mjvpi May 3 #12

Glad to see Finance Minister Karo stand up to the schoolyard bully. Permanut May 4 #15

Negotiations in ignorance. Godot51 May 4 #16

At one time, Trump had the solution of defaulting on the national debt, a deadbeat business model he is personally famil Norrrm May 4 #18

I was watching CNBC live when this happened on one of his call-ins. It was a jaw dropping moment. mobeau69 May 4 #33

Financial Pear Harbor. no_hypocrisy May 4 #20

NOT a Financial Pearl Harbour Bernardo de La Paz May 4 #26

Points taken. no_hypocrisy May 4 #30

In order to sell, there has to be buyers. Kaleva May 4 #21

Musk, Thiel and Bezos... druidity33 May 4 #22

There are always buyers. Selling the bonds simply causes US interest rates to rise. Bernardo de La Paz May 4 #31

One can imagine that the SS Fund and Federal Reserve being buyers Kaleva May 4 #44

re: Japan T-bills TnDem May 4 #23

It's not financial suicide, just a cost. Bernardo de La Paz May 4 #34

re: nope TnDem May 4 #38

Except the US is devaluing the dollar. It has declined almost 10% vs Euro since January peak. Bernardo de La Paz May 4 #39

They should do it now. Autumn May 4 #25

The Pride of Wharton!! They must be so proud... Grins May 4 #28

Real businesspeople invest in their people. Ones who bankrupt casinos shaft their people. Bernardo de La Paz May 4 #35

Trump's B.A. is from the University of Penn* of which Wharton is part of but he did not get an MBA from Botany May 4 #36

George W. Bush was our "first MBA president" Grins May 5 #47

The problem with that is some entity has to be willing to buy or trade for the US bonds. Jacson6 May 4 #29

Thanks, Putin! Kid Berwyn May 4 #37

This is why Trump will fold D_Master81 May 4 #40

Link to AP nitpicked May 4 #41