Stephen Jen Quoted in Bloomberg on China’s Retreat from U.S. Treasuries
Ye Xie, Ruth Carson and Tian Chen, Bloomberg, February 11, 2026
In a recent article for Bloomberg, Ye Xie, Ruth Carson and Tian Chen examine China’s long-running reduction in U.S. Treasury holdings and the broader implications for global demand for U.S. government debt.
The article notes that China has significantly reduced its Treasury exposure since 2013, raising questions over whether other major foreign holders could eventually reassess their own allocations. While the U.S. Treasury market continues to function smoothly, the piece explores whether geopolitical tensions and shifting reserve preferences could gradually alter foreign demand.
Stephen Jen, co-founder of Eurizon SLJ Capital, comments on the geopolitical dimension of China’s dollar asset exposure:
“The whole idea of lending to the government of your primary adversary should no longer be welcomed in Beijing,” he said.
The article places Stephen’s comments in the context of China’s large trade surplus, the accumulation of overseas dollar assets by Chinese companies and banks, and the strategic sensitivity of holding substantial exposure to U.S. government debt.
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