Selling American debt means that investors who hold American debt sell a lot of American debt, which usually means that investors are not optimistic about the prospects of American economic and monetary policy, because investors think that the risk of holding American debt has exceeded the expected income. This behavior may lead to a decline in the price of US Treasury bonds and an increase in the yield, and may have a wide impact on the US economy and global financial markets.

Us treasury bonds are a kind of bonds and debt certificates issued by the us government. U.S. Treasury bonds are an important financing tool for the U.S. government. If investors sell a large number of US Treasury bonds, it may lead to an increase in government financing costs, which in turn will affect the development of the US economy. Because US Treasury bonds are bonds issued by the government, they are usually considered as low-risk investment tools.

However, the yield of US Treasury bonds is not fixed and is influenced by many factors. If investors think that the yield of US Treasury bonds is not high enough or there are certain risks, they will consider selling US Treasury bonds. As US Treasury bonds are one of the important investment products in the global capital market, selling US Treasury bonds may also trigger global financial market turmoil and further affect the global economy. For example, selling American bonds may lead to liquidity risk, which may increase the uncertainty of the bond market and have an impact on the global financial market.

There may be many reasons for selling US Treasury bonds, one of which is the fear of a slowdown or recession in US economic growth. When economic growth slows down or declines, the government may need to take a series of stimulus measures, such as increasing expenditure or reducing taxes, to stimulate economic growth. This usually requires a lot of money, which is often raised by issuing government bonds. Therefore, investors may think that the issuance of treasury bonds will increase during the economic recession, which will lead to a decline in the price of US treasury bonds, and selling US bonds can avoid risks.

Selling US Treasury bonds may also be caused by rising inflation. With the economic growth, inflationary pressure increases, which may lead to a decline in bond yields or the central bank raising interest rates to control inflation. If the central bank raises interest rates, bank deposits or other wealth management products will become more attractive, thus prompting investors to sell US debt.