Jim Rogers: China will continue to dump U.S. Treasuries

Jim Rogers, Chairman of Rogers Holdings, spoke on CNBC to discuss the recent news that China dumped more than $34 billion of United States Treasuries and believes it will continue in the long term.

On Wednesday, Digital Journal reported that China is no longer the world’s largest holder of U.S. Treasuries as Asian nation dumped $34.2 billion, which many experts believe, is due to the United States' policies and their multi-trillion dollar deficit, debt and liabilities. Jim Rogers, co-founder of the Quantum Fund and founder of the Rogers Commodities Index, told CNBC on Wednesday that China’s dumping of US debt will continue in the long term and the “Euro scare” will persist for quite a while. Rogers, who has been a strong voice of caution since before the global economic collapse occurred, stated that he’s surprised China didn’t drop more, “The US should be worried about everyone lightening up – not just China.” When asked if countries dropping US government debt would continue, the author of “Hot Commodities” responded, “Probably after this euro scare is over – which may take a good while." It is feared that the US government may be forced to make higher interest payments as nations around continue to reduce its holdings in US debt as it runs record deficits and debt, notes Xinhua.