BRICS members India, Brazil, and China are consistently dumping the US treasuries by offloading billions worth of government bonds. The trio are looking to keep the US dollar from ending on a high against their respective local currencies. The US dollar is now at a 10-month high against BRICS currencies and the developing nations are selling US treasuries to keep their currency from ending on a low.
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The rising US dollar is worrisome for BRICS as it impacts their import and export sector. Therefore, the trio of nations are now resorting to offloading US treasuries in a bid to safeguard their local currencies.
3 BRICS Countries Offload $18.5 Billion in US Treasuries in The Last 30 Days
Firstly, BRICS member China dumped the highest in US treasuries last month by offloading $16.4 billion worth of government bonds. In addition, Chinese institutional investors sold another $5.1 billion in US stocks affecting the share market. Read here to know how the Jinping government and Chinese institutional investors are selling a record number of US stocks.
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Secondly, India sold $1.5 billion worth of US government-backed securities during the same period last month. India is doing everything it can to stop the Rupee from ending at a new low against the rising US dollar.
Thirdly, Brazil slashed its US treasury holdings by $600 million at the same time frame supporting the de-dollarization initiatives. In conclusion, the 3 BRICS countries combinedly sold $18.5 billion in US treasuries in the last 30 days.
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BRICS aims to end reliance on the US dollar and strengthen their local currencies in the international markets. Read here to know how many sectors in the US will be impacted if BRICS stops using the dollar. Despite multiple attempts from BRICS to derail the US dollar, the greenback outperformed all their currencies, gold, oil, and commodities.