Why will China slow the purchase of us bonds

1. Information that China is slowing or stop buying us debt maybe be false https://www.google.com/amp/s/www.cnbc.com/amp/2018/01/10/reports-on-china-slowing-us-debt-buying-could-be-based-on-wrong-information-source-says.html

2. China has been diversifying spending of it reserve currency

3. Prolonged war increases debt and it is inflationary. $20 trillion of us debt matches the cost of war. Fortunately less people are dying of war and peace will bring prosperity.

4. China invests its foreign reserve equally between the dollar and the Euro. The European market is important to China.

5. China has $3.14 trillion in its reserve currency.

6. Foreign central banks own $6.35 trillion of us debt. The velocity of purchases of us debt control interest rates. When bond purchases slow the government must offer higher interest rates to entice buyers.

7. Trade tensions between China and the us could slow the purchase of us treasuries by China

8. Mortgage rates are tied to us treasury rates. Rising interest rates would slow the real estate boom and reduce the number of mortgage loans available. Housing prices would depress.

9. The us financial markets are vulnerable to any change in us debt demand. Some experts are declaring a bond bear has emerged.

10. Inflation pushes bond yields up and prices down. Falling bond prices decrease the value of us bonds owned by the Chinese government. https://www.google.com/amp/m.scmp.com/week-asia/opinion/article/2128056/only-game-town-why-china-will-keep-buying-us-treasury-debt%3famp=