Could the US selectively default on Chinese-held treasuries?

[KrazyHorse]

Reread the OP please GP.

[KrazyHorse]

In the event that China was to regress to a less open economy and seize the assets of foreign individuals and firms in China

[Dauphin]

Physical delivery does happen on occasion.

Prearranged delivery. I would find it very hard to believe that you get some random turning up on your doorstep without notice trying to offload over a million dollars of metal.

[Dauphin]

It gives him less reason to try to lie to me to impress me.

Maybe he believed what he was saying even if an untruth. Just like you did.

[KrazyHorse]

He claimed to have seen it himself.

Though he might be delusional.

[Dauphin]

Punk'd

[Naked Gents Rut]

I would find it very hard to believe that you get some random turning up on your doorstep without notice trying to offload over a million dollars of metal.

Why? If he intended to close out his position all along and just forgot about it, I don't think it's completely implausible that he put his office down as the delivery site and was surprised when they turned up.

[Dauphin]

Sellers are required to give notice of intention to deliver to the Clearing House, and the Clearing House in turn notifies the buyer.

[KrazyHorse]

Dauphin, you're an ass for dispelling my hopes that crazy **** like this happens.

[KrazyHorse]

The proper response would have been some story about how somebody you know had 500 FCOJ contracts delivered to him in the middle of a heatwave in London. The mess was terrible. The City was shut down for weeks as the fly infestation was slowly cleared out...

[Naked Gents Rut]

Sellers are required to give notice of intention to deliver to the Clearing House, and the Clearing House in turn notifies the buyer.

I know. Why would he pay much attention to a delivery notice if he assumed he was going to close out before the delivery date?

Dauphin, you're an ass for dispelling my hopes that crazy **** like this happens.

Don't give up hope. I still think this is entirely possible.

[Dauphin]

Sellers are required to give notice of intention to deliver to the Clearing House, and the Clearing House in turn notifies the buyer.

I know. Why would he pay much attention to a delivery notice if he assumed he was going to close out before the delivery date?

Cos that notice is given after the trading in that future has ceased and close out is not available.

[Dauphin]

Dauphin, you're an ass for dispelling my hopes that crazy **** like this happens.

Truth is funnier than fiction.

Short selling copper in China such that they have to give up masses of their strategic reserves.

[Dauphin]

http://www.moneyweek.com/investments/commodities/the-phantom-copper-trader-strikes-out.aspx

[TCO]

Well, we hate right wingers here. Go away.

Except me. I'm the little token ***** right winger.