JackJester
Recycles dryer sheets
This article was interesting regarding how Europe could respond to a takeover of Greenland; employ the “Sell America” weapon.
Europe can wield this $8 trillion 'sell America' weapon as Trump reignites a trade war over his Greenland conquest ambitions | Fortune
“the U.S. has a key vulnerability the EU can exploit, according to George Saravelos, head of FX research at Deutsche Bank.
“Europe owns Greenland, it also owns a lot of Treasuries,” he wrote in a note on Sunday.
Holding those bonds helps balance America’s massive external deficits, and Europe is the world’s biggest lender to the U.S.
For example, offsetting the U.S. trade imbalance requires heavy inflows of capital from abroad. Meanwhile, the Treasury Department must also finance budget gaps by issuing more debt, often to foreign investors."
“European countries own $8 trillion of US bonds and equities, almost twice as much as the rest of the world combined,” Saravelos pointed out. “In an environment where the geoeconomic stability of the western alliance is being disrupted existentially, it is not clear why Europeans would be as willing to play this part.”
So, lets say hypothetically that Europe sold half of its US treasuries ('United States Treasury Securities: Foreign Holder: Europe data was reported at 3,635.487 USD bn in Nov 2025'.) ...if this hypothetical situation were to occur, what would this do to US Treasures and Fixed Income investments, and inflation, etc.?
Europe can wield this $8 trillion 'sell America' weapon as Trump reignites a trade war over his Greenland conquest ambitions | Fortune
“the U.S. has a key vulnerability the EU can exploit, according to George Saravelos, head of FX research at Deutsche Bank.
“Europe owns Greenland, it also owns a lot of Treasuries,” he wrote in a note on Sunday.
Holding those bonds helps balance America’s massive external deficits, and Europe is the world’s biggest lender to the U.S.
For example, offsetting the U.S. trade imbalance requires heavy inflows of capital from abroad. Meanwhile, the Treasury Department must also finance budget gaps by issuing more debt, often to foreign investors."
“European countries own $8 trillion of US bonds and equities, almost twice as much as the rest of the world combined,” Saravelos pointed out. “In an environment where the geoeconomic stability of the western alliance is being disrupted existentially, it is not clear why Europeans would be as willing to play this part.”
So, lets say hypothetically that Europe sold half of its US treasuries ('United States Treasury Securities: Foreign Holder: Europe data was reported at 3,635.487 USD bn in Nov 2025'.) ...if this hypothetical situation were to occur, what would this do to US Treasures and Fixed Income investments, and inflation, etc.?
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