China trims US Treasury holdings amid Iran war, Fed uncertainty
- Posted on August 18, 2026
- By South China Morning Post
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- 1 min read
China has strategically reduced its holdings of US Treasury securities to $633.4 billion, reflecting a significant shift in Beijing's investment portfolio. This reduction occurs amid geopolitical tensions concerning Iran and mounting uncertainty surrounding Federal Reserve policies. The move represents part of China's broader financial diversification strategy, as the nation seeks to minimize exposure to US debt instruments while exploring alternative investment avenues. Such actions may signal changing dynamics in global financial markets.
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