Source: https://bsky.app/profile/katie0martin.ft.com/post/3mcpsqmprjx25
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this post was submitted on 19 Jan 2026
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OK, I feel like many people here don't know what this means.
The US sells bonds to people. These binds are promises to pay them back more in a certain number of years.
The EU can't demand payment for all of that debt. What the EU CAN do, is selling the bonds it already owns, flooding the market. And not buying more themselves.
This would mean, that selling more bonds would become expensive for the US. Potentially they won't find enough buyers to fund their government.
Canada already threatened that (or started to do this, I don't remember) once already at the start of Trumps term. This might have been a factor for him backing of his invasion fantasies the first time.
To add context, part of getting Great Britain and France to back off in the Suez Crisis was Eisenhower threatening to sell off American owned debt in these two countries.
Were the leaders of Great Britain and France rot-brained orange fools at the time? I am assuming because they didn't throw tantrums and dig in further that the answer is no.