BRICS dumped a total of $17.4 billion in U.S. treasuries in September 2023. Latest Data from the U.S. Treasury Department highlighted that China, Brazil, and Saudi Arabia sold the highest last month. The BRICS alliance is offloading billions worth of U.S. government bonds to stop the dollar from ending on a high against local currencies. The rising U.S. dollar is weakening gold, oil, commodities, and local currencies of developing nations around the world.
China single-handedly offloaded $13.6 billion worth of U.S. treasuries in September. The communist nations’ reserves dropped from $835.4 billion to $821.8 billion last month. Brazil stood next on the list and offloaded $2.7 billion in U.S. treasuries. As a result, its holdings shrunk from $227.4 billion to $224.7 billion.
New BRICS member Saudi Arabia followed right after and sold $1.1 billion in U.S. treasuries. Consequentially, the Kingdom’s holdings have now been trimmed from $109.2 billion to $108.1 billion.
In all, BRICS members China, Brazil, and Saudi Arabia dumped a total of $17.4 billion worth of U.S. treasuries in a single month. The development adds pressure on the U.S. dollar, as a handful of countries are cutting ties with American government bonds. Read here to know how many sectors in the U.S. will be impacted if BRICS stops using the dollar.
BRICS Dumped A Total of $123 Billion in U.S. Treasuries in 2023
The BRICS bloc has dumped a cumulative $123 billion in U.S. Treasuries in 2023 alone. China, Brazil, India, Saudi Arabia, and the UAE have all sold U.S. government bonds this year. In addition, India has been accused of massively selling the U.S. dollar in the forex markets to keep the rupee from ending at a low. Read here to know how India managed to dump the U.S. dollar in the currency exchange markets last month.
Japan, on the other hand, is also accused of following the footsteps of India to keep the yen from falling against the USD. Read here to know how Japan is intervening in the currency markets to take on the U.S. dollar.