Very rare: Will China make strategic moves as Hong Kong purchases large amounts of gold from all over the world?

A few hours ago, Russia's satellite news cited data from the Hong Kong Census and Statistics Department and found that in April this year, the amount of gold purchased by Hong Kong, China from all over the world reached the highest value since August 2013. In just April alone, it bought $11.3 billion worth of gold.

Among them, the import of gold from Russia increased 27 times year-on-year to nearly $370 million. It bought $210 million from Switzerland, $200 million from the UAE, and $140 million from Australia...

What signals does such a large-scale gold transaction release? On this issue, some comments believe that it may be related to China's upcoming strategic layout. After all, while buying gold, China is also selling US Treasury bonds. Currently, China's holdings of US Treasury bonds are not only lower than Japan's but even lower than the UK's. This indicates that China may be preparing for a possible blowup of US Treasury bonds.

This June, there will be $6 trillion worth of US Treasury bonds maturing, and the Trump administration still has no solution. As for Federal Reserve Chairman Powell, he still refuses to cut interest rates. Trump has repeatedly criticized Powell, but still cannot change his decision. In this situation, China's preemptive risk-averse actions are understandable.

Of course, some comments boldly speculate that the anomaly in the gold trading market may be related to the next move of the mainland military. The other day, Japanese media predicted that the Chinese mainland would attack Taiwan in 2026. In response to this matter, all aspects on the island were very nervous, but the mainland did not respond. On the American side, Trump publicly stated at a time when the US Treasury bond problem was so serious that the US defense budget would definitely reach $1 trillion in 2026 and that it would produce a large number of hypersonic missiles. It is not excluded that Trump is making the worst preparations. For more details, let us continue to follow up.

Source: https://www.toutiao.com/article/1833337756806148/

Disclaimer: The article represents the author's personal views.