Danish pension fund to sell $100 million in Treasurys, citing 'poor' U.S. government finances
www.cnbc.com
AkademikerPension's move comes amid increasing tensions between Denmark and the U.S. over Greenland.

  • CosmicTurtle0 [he/him]@lemmy.dbzer0.comEnglish
    30·
    17 小时前

    If you all haven’t already, the next few days is a great time to rebalance your retirement accounts. Stop investing in US federal bonds and focus on international mutual funds and (if available) state and local mutual funds.

    I rebalanced last year and my IRA is doing fantastic. (Not today but overall)

    • melsaskca@lemmy.ca
      2·
      3 小时前

      There will be a ripple effect now that at least one has taken the action. Let’s hope it snowballs.

    • BigDanishGuy@sh.itjust.works
      2·
      5 小时前

      My thought exactly. But in adding to your contextual contribution:

      This is a really small and rather obscure pension fund for academics, which has a elitarian focus on being sustainable. Don’t get me wrong, even if all Danish pension funds dumped all their US federal bonds in a day it wouldn’t register in the price.

      We need to bring the Norwegian oil trust in on this.

    • empireOfLove2@lemmy.dbzer0.comOPEnglish
      1141·
      18 小时前

      Its not much numerically, but this is the first time a foreign holder of bonds has publicly announced they no longer have faith in the credit of the United States.

      That is a big headline in the financial world. The entire international finance market is currently reassessing the stability of the US in a negative light. The only way out from here is down.

      • protist@mander.xyzEnglish
        16·
        19 小时前

        When you hear reported [Japan] owns [$x.xx] in US Treasuries, that figure isn’t a monolith. The Japanese government owns some, and Japanese corporations own some, and the Japanese people individually own some, and more. It would have to be a collective effort, and there would realistically need to be a financially sound alternative place for them to safely park their money

        • StinkyFingerItchyBum@lemmy.caEnglish
          3·
          13 小时前

          financially sound alternative

          That’s an interesting concept in this context. What’s financially sound in a possible WWIII? As far as alternatives, I think it relative. Relative to a sinking ship that will suffer severe divestment from around the world, almost anything, really.

          • protist@mander.xyzEnglish
            22·
            13 小时前

            It may be nice to imagine, but as long as the US continues to pay interest on Treasury bonds, US Treasuries will not be viewed as a “sinking ship.” Divestment in this case would be purely a political decision

      • BrianTheeBiscuiteer@lemmy.world
        26·
        19 小时前

        Most countries probably had no playbook for dealing with a rogue US administration. They’re still looking for all the ways they have leverage over us and while no single country could probably bring us to our knees (well, except ourselves) they could definitely band together and send us back to the Great Depression era.

        • RidderSport@feddit.org
          2·
          9 小时前

          Actually, I think if Germany demanded the immidiate release of the remaining billions of gold the USA holds for them, it might just be one country.

  • sin_free_for_00_days@sopuli.xyzEnglish
    21·
    12 小时前

    There’s a reason Buffet sold so much of Berkshire’s stocks over the last year. I wouldn’t be holding anything of value in the US. I moved my IRA account totally over to overseas investments when this jackass came around the first time. I never moved it back.

    • empireOfLove2@lemmy.dbzer0.comOPEnglish
      21·
      18 小时前

      T notes being up is a bad thing.

      Bond yields increasing means that the cost of getting debt is increasing for the US. Higher yields means that bond holders think there is more risk that the bond won’t be paid back and want more interest rate. Same effect as a 550 credit score and an 800 credit score person applying for the same car loan. The 550 is gonna get a 21% loan and the 800 is going to get a like 10% loan. The lower credit score means they are more risky to loan to as they might default, so the interest rates are higher to compensate.