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LT Brad McInnis
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If the Democrats think the Chinese are going to be buying our debt (so we can afford this colossal joke), then they have another thing coming. This is just another political ploy by the Democrats. Instead of playing politics, it would be nice if they get together (proper social distancing of course) with Republicans and actually come up with ideas that will actually help people. I remember 9/11 when both sides came together to help Americans.
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SPC Erich Guenther
SPC Erich Guenther
>1 y
Your absolutely right, that is why Congress is using the Social Security Trust fund to buy Treasuries. Very little of our debt is held by foriegn countries, I think the Chinese have reduced their share to about $1-2 Trillion. Not even 10%. They used to have $3-4 Trillion but then started to figure out it wasn't such a low risk. See chart below we primarily issue and buy our own debt. They do have to expose it to the open market to calculate the interest rate and that is why a percentage is sold to foreigners to keep the interest rate close to market demand. There are other mandates outside of SSN buying them. A shared of US Investor Purchases is by insurance underwriting which requires a annuity in a "safe" area like treasuries (see recent comments by our largest insurance underwriter, Billionaire Warren Buffet). The Fed is purchasing them to influence money supply / interest rates.

https://ei.marketwatch.com/Multimedia/2018/08/21/Photos/ZQ/MW-GO672_nation_ [login to see] 0954_ZQ.jpg?uuid=05b585b6-a565-11e8-b6ab-ac162d7bc1f7
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SPC Erich Guenther
SPC Erich Guenther
>1 y
So congratulations are in order........National Debt Holder.....lol
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SGT David A. 'Cowboy' Groth
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They're going to have the country in the poor house with this manuver.
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Lt Col Charlie Brown
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So 6K more that my grandkids will owe to....who? The Chinese?
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SPC Erich Guenther
SPC Erich Guenther
>1 y
LOL, its you buying the debt not the Chinese. Look at the Social Security Trust fund, that is where they are buying the bulk of the Treasuries......very little is financed by other countries. They do have to market a portion to a larger open market like foriegn countries and investors to set the interest rate on the treasuries though. Vast bulk though is Social Security investing.
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SPC Erich Guenther
SPC Erich Guenther
>1 y
Let me also explain the other percentages. The largest chunk under the U.S. Investors % is actually Billionaire Warren Buffet who has a large chunck of the insurance underwriting business which requires he invest in only ultra "safe" investments like Treasuries (you can Google his recent comments on Insurance Underwriting I believe). The percentage for the Fed is to manage interest rates and money supply as part of their QE formula. So primarily it is the U.S. Taxpayer on the hook for the National Debt. Democrats aren't stupid and know full well the least path of limited political accountability if something goes wrong with deficit spending. They would have been called to account long ago if the debt was held primarily by overseas investors.
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SGT David A. 'Cowboy' Groth
SGT David A. 'Cowboy' Groth
>1 y
SPC Jeff Daley, PhD interesting share brother.
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