Israel Strikes Iran - China & The "Nuclear Option" Against Trump

Look at the two charts above: we see a precipitous decline in 10-yr yields in China shortly after the conclusion of the 2024 election.

Likewise, we saw a spike and what appears sustained selling pressure affecting US treasuries, of the same term (10 yr).

Presumably, tariffs, economic policy, shocks, et cetera could have been the catalyst for this change... but selling of this scale requires a... seller.

Anti-Trump Oligarchy & the "Samson Option"

With the increasingly strident tenor within the debate regarding immigration reform and the demographic trajectory of the United States, one menacing weapon has always terrified the Trump administration: a coordinated "dump" of American assets.

The anti-Trump establishment hosts a majority of the richest and most powerful men in the world: it could easily reduce the US capital markets to a "no-bid" scenario.

However, if the anti-Trump establishment were to crater US assets, it would have to put its money somewhere else.

Anti-Trump Capital Options

The anti-Trump oligarchy does not like crypto or Bitcoin: it completely bypasses all their legacy gatekeepers, cartels, and monopolies. For example, stablecoins make easy work of legacy banking infrastructure, and furthermore, make it impossible to "ban" people or institutions from credit by Board fiat - decentralized finance removes the "cancel button" of the Obama-Biden era, a favorite Globalist control mechanism and used with alacrity in Europe and the UK, today.

Europe, meanwhile, simply taxes capital to avoid even worse inflation. UK, likewise, and Canada struggles with an out-of-control bubble and extremely unstable investment environment.

This leaves one option.

China - Safe Haven for Anti-Trump Capital

In the event of a coordinated "Trump dump" to completely knock-out the Trump administration, the anti-Trump oligarchy would dump American assets, including stocks, bonds, and real estate, and pivot ALL of it into Chinese-listed and Chinese-controlled entities.

Trump's administration anticipated this threat very, very early on, after the election, and responded with incremental counter-threats to control a possible demolition of the US economy by coordinated dumping of assets by the anti-Trump oligarchy.

Tariffs as Economic WMD Against Anti-Trump Oligarchy

Tariffs simply undermine the economics of China - period. Yes, they hurt the US, but if Trump faces catastrophic dumping of assets, he can likewise "kick the chair" from under China.

The anti-Trump oligarchy would go from one crashing market (US) to another, as a collapsed Chinese economy would prove an economic sinkhole, with hardliners likely taking-over and outright nationalizing foreign capital, Harvard admissions be damned.

Tariff "Chaos"

The TACO trade fails to understand that the outwardly chaotic rhetoric behind the tariffs had nothing to do with economic policy and everything to do with front-running an attempted coup via coordinated dumping of US assets.

By ramping-up tariffs sky-high, Trump cut-off the mass exodus of anti-Trump capital to China. However, it came at a high-price - a noticeable shock to the US economy. Trump needed a permanent solution to the menacing dump of American assets by his extremely powerful adversaries.

Delisting Chinese Stocks

Delisting Chinese stocks would have a marginal but still an effect, as much of the capital is in fact credit, and it is offshore. The anti-Trump oligarchy burnishes its globalist credentials, and merely de-listing Chinese ADR's from the US indexes would just add a bit of friction, not stop the capital flight entirely.

Sealing the Trap - Iran-Israel War

The Iran-Israel war seals the trap for the anti-Trump oligarchy and its attempted economic WMD of mass-dumping US assets: by cutting China off from her fuel supplies (Iran) and installing a more pro-American regime in Iran, the rogue American capital fleeing into China would be at the mercy of a very brittle and anxious Chinese regime - Trump could easily give China "permission" to nationalize the hostile capital in exchange for trade concessions, for example - indeed a "win-win".

Iran - Key to Humbling the Anti-Trump Oligarchy

With nowhere else to push their wealth, the anti-Trump oligarchy is trapped: their most powerful weapon, coordinated selling and crashing of US assets, remains shattered at their feet, and the Trump administration can begin slowly and completely retaking control of the United States from the Fabian Globalists.