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Danish pension fund divesting US Treasuries

reuters.com

411–420 of 857 posts

Re: Danish pension fund divesting US Treasuries

#411
post #42

It's symbolism. But it's important symbolism. Far more notable, I think, is Macron saying this morning that Europe needs more investment from China. Canada signing a deal with China to allow their cars to be sold in the country. It's all a sliding slope until it reaches a breaking point and falls off like a cliff. EDIT: to quote the Canadian PN earlier today: “American hegemony in particular helped provide public goo…

> It's symbolism. But it's important symbolism. Far more notable, I think, is Macron saying this morning that Europe needs more investment from China. Canada signing a deal with China to allow their cars to be sold in the country.

The better move would be to invest internally. China wants a hegemony, whether they acknowledge it out loud or not. As Europe and Canada start seeking Chinese investment, the Chinese will seek something in return. They're not doing this out of the goodness of their hearts.

I'd also like to think that the American/Western investment in places like China and Russia are part of how we got to where we're at now. It became apparent for Western capital that human rights aren't necessarily compatible with economic growth and can even run contrary to it. Eventually that mindset permeates a society, and it has in the US. A large plurality of the population thinks that a billionaire strongman is necessary to remain competitive in the global marketplace. This mindset didn't show up overnight, it was a slow burn.

Some of it was fueled by the demographic transitions of the last fifty years, some by American economic anxiety - which was caused by American/Western investment in China - and the rest of the West has the same problems in those departments that the US has to one extent or another. The European/Canadian welfare state that provided protection from some of the economic anxiety that was seen in the US must get its funding from somewhere, and you get it from taxing economic expansion. Economic expansion relies on at least some population growth. Right now, you don't see native population growth in most Western countries. They have to have people immigrate in to stay competitive. In pretty much all of these countries, you've seen at least some friction between the "native" population and immigrants. You'll see more of that in the future, and that's how the Canadian/European Trump will show up. Doubly so in Europe, because their nation-states are partially defined in terms of ethnicity.

Re: Danish pension fund divesting US Treasuries

#412
post #240

Feels like the right direction, pull all European money from the US, hope that financial and economical consequences convince US citizens to deal with their president as he deserves. It will decrease profits short term but certainly will have less negative impact than letting that guy in power.

Talk about a pipe dream. This is a far less significant penalty than what has been applied to Russia and absolutely nothing has happened to Putin. Europe could apply all the same sanctions to the US that it has applied to Russia and Trump would still serve out his full term.

There are differences though. First the US is still a democracy, so unhappy voters matter (and there are the midterms which is an opportunity to express unhappiness). Second the ties between Europe and US are greater than they were between Europe and Russia, so probably this could have more impact.

Re: Danish pension fund divesting US Treasuries

#414

Earlier quoted context omitted.

Far more important, I'd say, are the European countries having already got together to discuss joint sanctions/tariffs against the USA (their nominal NATO partner) if Trump moves to seize Greenland. Macron has also said that he wants no part of Trump's (billion dollar entrance fee) "peace board" that he's going to be pushing at Davos. A divorce from the USA would certainly hurt Europe, but it will also hurt the USA a…

Precisely. If the USA wants to be trusted at all it needs to act now or it will be too late. This is the precipice and without action from Congress & the Senate the rest of the world will make up their own mind about the country as a whole. This is probably one of the most expensive moments in history.

One of the most expensive moments in history so far

Re: Danish pension fund divesting US Treasuries

#415

Earlier quoted context omitted.

There's no chance US will default on its debts, all it has to do is to print more money. Inflation may spirale, but it's going to be a US citizens problems (as well as US bond holders) in terms of inflation and budget cuts.

You’re assuming the people in charge are sane, rationale, and value past decisions that have worked out. It’s quite clear with the now likely permanent damage to NATO this isn’t the case.

This is precisely it.

People in the US have been living with the insanity of Trump for so long that they have become numb to it, and don't realize just how crazy and out of bounds every day is now. We continue on, because we have to, but it's hard to reevaluate everything every single day because it's so crazy.

Europe and the rest of the world are making completely rational decisions in response to the utter self-destructive actions taking place by the entire US political system right now.

The US population has been cowed into complacence and numbness, but the rest of the world has not yet, and will take appropriate action.

Re: Danish pension fund divesting US Treasuries

#416

Earlier quoted context omitted.

The parent comment was edited after my reply.

Yes, sorry; I added 'eligible' to emphasize how many people failed to vote at all. Unfortunately, my understanding based on reported surveys [1] is that if the non-voters had voted, Trump's margin of victory would have been even greater. If that's the case, then those who say that my 1/3 figure is too low are correct. 1: https://www.politico.com/news/2025/06/26/2024-election-turno...

Failing to vote still isn't an "active" attack, so I think you're technically vindicated. (But yes, the situation is dire either way.)

Re: Danish pension fund divesting US Treasuries

#417

Earlier quoted context omitted.

The US does not benefit from a stronger, more unified Europe. Thanks to NATO, "the west" has effectively become an empire in all but name, with the US having enough influence to be the de facto leaders of this empire. If US pulls back from NATO, and Europe builds up military power to compensate, then the US loses this de facto leadership seat of an empire. Today, the US appears in parallel to be doing two things: 1.…

How is the US promoting right wing nationalist policies in the EU? Why would anyone listen?

Just one example: Elon Musk (at that time part of US government) tried to directly influence German elections by prominently featuring AfD (German right-wing extremists).

Re: Danish pension fund divesting US Treasuries

#418

Earlier quoted context omitted.

This is not a one sided thing. The US has been allowed to do a lot of things under the NATO umbrella that it benefited from (such as: selling a vast quantity of arms). Soft power is a thing and the North Atlantic Treaty Organization came into being to deal with exactly the kind of situation that we are viewing today. To see the US bow out, and in fact threatening allies is duplicitous at best.

NATO came into being to deal with the USSR, which was the preeminent threat to all NATO members. The US wasn't expected just to come save Europe; European states had real military power and the will to bring it to bear against the US's main adversary. In a conflict with the USSR, the US could rely on Europe to fight with them. Very valuable. Today, US policymakers see China as the main adversary. But European states…

> Today, US policymakers see China as the main adversary.

That is not evident at all in how any US policymaker acts these days. China is stronger than ever, precisely due to US actions. Every day, the US gives up power and throws it away, and China picks it up off the ground for free.

The supposed "China Hawks" are all chicken hawks without anything to back them up.

Re: Danish pension fund divesting US Treasuries

#419

Earlier quoted context omitted.

> It's symbolism. It's not. This is where the financial rubber meets the road, actions have consequences, and the rest of the world is looking at the US as increasingly unlikely to pay above inflation on its debts. The people managing the pension funds (if they are acting in good faith) really want to generate yield, and really want to preserve capital for the Danish people. They don't want to symbolically do those t…

There's no chance US will default on its debts, all it has to do is to print more money. Inflation may spirale, but it's going to be a US citizens problems (as well as US bond holders) in terms of inflation and budget cuts.

Are you disagreeing with the parent post or agreeing with them? I first read your comment as if it was disagreeing with them but then noticed the parenthetical "(as well as US bond holders)" in your comment, which seems to support parent's position.

Re: Danish pension fund divesting US Treasuries

#420
post #42

It's symbolism. But it's important symbolism. Far more notable, I think, is Macron saying this morning that Europe needs more investment from China. Canada signing a deal with China to allow their cars to be sold in the country. It's all a sliding slope until it reaches a breaking point and falls off like a cliff. EDIT: to quote the Canadian PN earlier today: “American hegemony in particular helped provide public goo…

[flagged]

You're right. Trump isn't Hitler...

Hitler's dead.

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