Monday, November 23, 2015

US Bond Manipulation -- Mystery Buyer Belgium Buying Up US Bond Assets.

In 2014, severe bond dumping occurred, but a mystery buyer out of Belgium appeared to prop the US bond market up.  It made Belgium the 3rd largest foreign holder of U.S. Treasury bonds.  What's so strange about this is it could not be the country itself, because Belgium does not have the capital to make such purchases.  One has to ask, does this qualify as bond manipulation, to prop up US denominated assets (in other words, propping up the US dollar to devalue others)?

 These treasury market manipulations — put Belgium behind only financial giants Japan and China.

We know however that it is not Belgium itself because they don't have the capital.  Some speculate it is China working through a Belgium proxy, to cloak their financial manipulations, devaluing the Yuan (Chinese currency) and at the same time prop up the U.S. Dollar, and creating a competitive edge for Chinese markets while making the US Dollar artificially stronger.  This all makes sense if you follow the US Federal Reserve Bank's monetary policy meetings and QE bailouts, that it does not make sense that the dollar would have such strength, coupled with the fact the US GDP is relatively weak.

Chart below shows Treasury holdings doubled through late 2013 and early 2014:



The transactions were placed by EuroClear (a clearinghouse), but they will not say which clients were involved, thus providing a cloak for possible stealth banking operations, which may also be illegal under international laws.  China would possibly do this to disguise the allegations that it manipulates its currency.  This leads to the question, that if this is so, just how fragile is the Chinese economy and the US Dollar?

Neal Vanderstelt - Author of Economics Theories, Self-help, and Conspiracies.  Find me here on Amazon.

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