OREANDA-NEWS  The world's largest holders of U.S. government debt (treasuries) mostly sold it in the third quarter. Japan, which owns $1.1 trillion in government debt, sold it for 61.9 billion, and China, with 0.75 trillion— sold it for 51.3 billion. RIA Novosti writes about this.

The agency, without specifying sources, connects the sale of treasuries with the upcoming coming to power of Republican Donald Trump, although the elections were already in the midst of the fourth quarter.

In turn, Eduard Khristianov, First Deputy Chairman of the Management Board of PJSC Rosdorbank, noted that such sales are associated with an unexpectedly sharp reduction in the Federal Reserve rate. The fact is that when the rate decreases, the yield on government debt falls, respectively, sales have increased in the market.

In addition, Japan and China tried to get funds through the sale to solve their own problems. If Japan is facing a sharp depreciation of the yen, then China has to fight deflation and needs money for financial incentives. In such circumstances, it is logical to refuse to invest in securities.