China may be secretly stashing US debt holdings in Canada, Wall Street analysts suspect

Source: New York Post

China may be quietly stashing billions of dollars in US government debt at Canadian banks, giving the appearance that Beijing is reducing its financial ties to America even as it continues to help bankroll Washington’s massive deficits, according to Wall Street analysts. The theory centers on US Treasury data showing that Canada’s reported holdings of American government debt and federally backed mortgage bonds have soared to nearly $600 billion — more than four times their level five years ago, Bloomberg reported. Meanwhile, China’s reported holdings of US Treasuries have fallen by roughly half since 2016, to $618 billion.