Trump’s Tariffs BACKFIRE: China Ditches US Treasury Bonds! US Stock Market Can Take This?

In this episode, we explore:
-What triggered China to push its tariff on US goods to 84% and consider selling up to $1 trillion in US Treasury bonds,
-Why this “bond atomic bomb” is considered so dangerous for the US economy and financial markets,
-How President Trump’s increased tariffs on China (up to 125%) drove Beijing to escalate,
-Where this leaves global markets, inflation fears, and the risk of a new crisis in 2026,
-Whether a last-minute “grand bargain” might stop China’s bond sell-off.

Key Topics to Cover
Backdrop: U.S.–China Tariffs & the Trade War Escalation
Recap of early April 2025: Trump raising tariffs from 104% to 125% on Chinese imports,
China hitting back with 84% tariffs on US goods,
The deepening sense of a “lose-lose” standoff.

China’s “Bond Bomb”—What It Means
China’s massive holdings of US Treasuries (approx. $900B–$1.1T),
How a partial or total sell-off could jack up US interest rates, weaken the dollar, and spike inflation,
Why this is considered the “nuclear option” in a trade war.

Trump’s 90-Day Tariff Suspension vs. China’s Exclusion
The White House’s partial relief for most partners—except China.
Did Trump underestimate Beijing’s willingness to retaliate financially?

US Markets in Panic Mode
Stock market reaction: S&P 500 & Nasdaq tumbles amid bond sell-off fears,
Potential for recession if interest rates climb rapidly,
Could consumer prices skyrocket?

Global Ramifications & Historical Parallels
Threat of China’s bond sale reminiscent of trade wars in the 1930s,
How “everyone loses” in a protracted tariff + bond escalation,
Role of other major bondholders (Japan, EU) watching carefully.

Possible Outcomes & Diplomatic Angles
Might Trump “blink” first to avoid a meltdown?
Could China stage a measured sell-off or is it a bluff?
Impact on the 2026 election cycle if recession fears materialize.

Chapters:
00:00 – Introduction & Headlines
01:00 – Tariffs Expanded: 125% on China, 84% Retaliation
03:00 – China’s Bond Holdings & “Atomic Bomb” Threat
05:00 – US Market Panic: Stocks & Bonds
07:00 – Why Is Trump in “Panic Mode” Now?
09:00 – Lessons from History: Risk of 2026 Crisis?
10:30 – Global Fallout & Allies’ Concern
12:00 – Possible Scenarios: Diplomacy or Showdown?
13:00 – Conclusion & Final Insights

37 Comments

  1. Notice the evil ruling class owned western media talk about these tariff wars in a neutral or even excited way. The truth is basically everyone but the super rich are going to be hurt by this. The people who will be hurt the most are US consumers, especially middle class and poor people. Leave it to the ruling class media to say what they are told to say, if it is a good idea or not. These are the same people that are either neutral or warmongers about needless immoral wars, which are killing millions needlessly and further bankrupting america. These talking heads get paid by the evil ruling class, what they say and how they spin it has nothing to with journalism or helping you.

  2. Those factories in China are going to go from producing electronics such as iPhones and laptops to weaponized drones and bombs during WW3. That’s what we did during WW2 when we had manufacturing infrastructure. This is not going to end well without peace.

  3. USA will learn what tariffs means from China. They will make the Burger face learn a lesson also China is more closer and more important to Europe than USA. $ to 50Cent😂😂😂

  4. Ahh the Hate for Trump helps me sleep at night because i know he's doing an amazing Job, gonna make America Great Again by just doing it and the hell with the consequences. True Leader🫡🫡🫡

  5. Well China has the option of war also! The US bonds are worthless because of the deficit! The dollar is not backed by anything but debt! The collapse of the dollar would be imminent because all the countries that are a part of BRICS would dump the dollar as well! Just my opinion🤔😌

  6. Manipulation
    Trump is showing the World how he alone can control the stock markets and global economy. When American stock markets crash and unemployment rises Trump will tell all the ‘Red Hat Believers,’
    “I Alone Can Fix It”
    Beware Of Darkness

  7. This is a stupid broadcast. Trump is not in panic mode. I don't think he's ever been in panic mode in his life. He makes intelligent decisions and reacts accordingly. You're all a bunch of f*cking idiots – where's your funding come from George Soros!!!!!!!!

  8. The GO playing Chinese are toying with tRump.
    They have so many tools to use against perceived threats and compliant cooperative citizenry who do not trust anything Western.
    What does tRump have?

  9. If China start selling its bonds, then the EU, UK, the rest of Asia (incl. NK), Australia & New Zealand will follow suit, which could destabilize the dollar enough to cause a major economic crisis within the US and a minor one outside it (as those who sold off most US bonds will diversify too, stabilizing their economies faster)

  10. Trump’s reciprocal tariffs were always going to trigger some kind of response. Now that China’s hit back, it’s like a global domino effect. You can’t mess with trade at that scale and not expect consequences

  11. USA needs the dollar to lose value in order to increase it's exports. China will not help USA to just do that by selling their bonds. If they do sell their bonds it will be to destroy to dollar not just lower it's value.