By Lindsay Skardoon, Chief Investment Officer, Spectrum Asset Management
As the trade war escalates there has been a lot of discussion around whether China could dump U.S. bonds in retaliation to what they see as an unfair result. China’s holdings in U.S. Treasuries peaked in 2013 at $1.32 trillion and is believed to be about $1.12 trillion as of March; that’s a reduction of about 15%. The Chinese now own about 7% of the $16.18 trillion U.S. public...