I have been wondering why Donald Trump didn’t welcome his close neighbour’s Prime Minister before meeting with other foreign leaders. Trump had met with Prime Minister Theresa May of England and Prime Minister Shinzo Abe of Japan before meeting with the Canadian Prime Minister Justin Trudeau. I dunno, but I found it kinda odd that he didn’t meet with the leaders of Canada and Mexico first. Of course, other things are more salient right now for the businessman.
Like the economy. The financial collapse which is poised to strike any time now, dependent on timing to make Trump look the worst. The financial debt is so bad, and the Federal Reserve is bankrupt, and Trump is scrambling to keep the US afloat. That means wooing the financial backers of the US. Don’t kid yourself, it is foreign investment that is funding the United States of America. And it seems that the UK and Japan are two of the top investors.
According to this article “America’s Biggest Creditors Dump Treasuries in Warning to Trump“,
In Japan, the largest holder of Treasuries, investors culled their stakes in December by the most in almost four years, the Ministry of Finance’s most recent figures show. What’s striking is the selling has persisted at a time when going abroad has rarely been so attractive. And it’s not just the Japanese. Across the world, foreigners are pulling back from U.S. debt like never before.
From Tokyo to Beijing and London, the consensus is clear: few overseas investors want to step into the $13.9 trillion U.S. Treasury market right now. Whether it’s the prospect of bigger deficits and more inflation under President Donald Trump or higher interest rates from the Federal Reserve, the world’s safest debt market seems less of a sure thing…
It seems that Japan has a huge investment in the US:
In December, Japanese investors reduced their investments in U.S. debt by 2.39 trillion yen ($21.3 billion) after a smaller pullback in November. While only a fraction of Japan’s $1.1 trillion of holdings, they were first the back-to-back declines since the start of 2014. China, which owns just over $1 trillion of Treasuries, has been selling since May. Its holdings are at a seven-year low.
Wow…I’m not surprised that the Japanese Prime Minister was one of the first foreign leaders Trump met with! He is a businessman first and foremost. He probably met with the UK Prime Minister first because she may have been a friendlier ally and he figured he could win her over easier. Don’t think I didn’t notice the almost flirty banter that went on between the two of them. If you don’t believe me, watch this body language expert’s video. I like Bombard’s Body Language channel, as she looks at body language “tells” to discern the truth behind what is being said and obviously portrayed. We all have a public “mask” that we wear when we deal with the world, but there are still subtle movements that reveal our true feelings.
She also does an analysis of his dealings with Shinzo Abe and Pierre Trudeau. They give an interesting overview to what was said and what they were obviously trying to portray. I hadn’t realized until I watched the video with Abe that Japan was part of the TPP that Trump pulled out of. It kinda explains that alpha dominance handshake Trump pulled on poor Abe! LOL It seems he wanted to dominate the man and control the dialogue…see the analysis here.
It seems that England has a large financial investment in the US too…according to the first Bloomberg article:
Mark Dowding, who helps oversees about $50 billion as co-head of investment-grade debt at BlueBay Asset Management in London, says the firm has already moved to insulate itself from further losses due to higher rates.
It would seem that foreign investors are very worried about the debt collapse, which is imminent, since the fiat currency system is no longer viable, and the US debt is almost 20 trillion dollars, according to the US Debt Clock. Wow…that is scary to look at as it keeps creeping up as you watch. But…it is totally understandable that foreign investors would be scared too. Trump the businessman needs to woo them back. I feel sorry for him…what a mess he inherited!!! I think the collapse is coming soon IMO. And although my header shows only a 12.9 trillion dollar debt breakdown, I’m sure the proportions are much the same now. I bet Trump will be meeting with the Chinese President soon…which doesn’t bode well and I can’t blame him for putting off. Not only has Trump announced he’s bringing back jobs from China, but the Chinese President Xi Jinping, is anti-Trump. Difficult times ahead.