European officials quietly warn of dumping Treasuries if U.S. peace deal undercuts Ukraine, while Tulsi Gabbard, at a TPUSA event, claims entrenched forces resist peace
European officials are privately discussing a dramatic financial countermeasure against the United States if Washington finalizes a peace deal with Russia on terms they see as unfavorable to Ukraine, according to a report this week. In parallel, U.S. Director of National Intelligence Tulsi Gabbard, speaking at a Turning Point USA (TPUSA) summit, accused entrenched U.S. government elements of opposing peace negotiations, illustrating deep divisions over how the conflict should be resolved.
According to The Economic Times, (12/09/2025) some European diplomats and government officials have “whispered” about potentially selling parts of their massive holdings of U.S. Treasury securities (more than $2 trillion) if a U.S. peace initiative leads to what they see as an American retreat from supporting Ukraine’s defense and territorial integrity. Such a move would be hugely disruptive for global financial markets and reflects growing concern that U.S. negotiations with Russia could produce a deal damaging to European security interests.
U.S. negotiators have been involved in talks aimed at a ceasefire in Ukraine that might require Ukraine to make territorial concessions in exchange for peace. That prospect has alarmed some European leaders, who argue that acquiescing to Russian demands would undermine the post‑Cold War security order and embolden Moscow. The warning about using Treasury holdings as leverage underscores how strained relations have become among long‑standing allies when it comes to strategy for ending the war.
Gabbard at TPUSA: Deep State Opposing Peace
At a TPUSA summit speech, Gabbard said that powerful elements within the U.S. government (what she referred to as the “deep state”) are working to block peace efforts because they have a vested interest in continued conflict. According to reports of her remarks, she claimed these forces within the U.S. and abroad oppose negotiations because they benefit from ongoing war and geopolitical tensions.
Her remarks at the conservative organization’s event focused on alleged resistance from entrenched interests to peace talks between the United States and Russia, suggesting that those forces are more concerned with preserving influence than stopping the war.
Why This Matters to Global Security
Talk of Europe potentially selling U.S. Treasuries as leverage strikes at the heart of the financial underpinnings of transatlantic relations. U.S. government debt is widely held as a safe‑asset globally, and coordinated sales could raise U.S. borrowing costs, weaken the dollar, and unsettle markets. While European officials have not publicly endorsed this idea as policy, even private discussions signal deep distrust and diverging strategic priorities among allies.
Meanwhile, accusations of a “deep state” resisting peace talks in the United States highlight how internal political narratives are now entwined with high‑stakes foreign policy decisions. If peace negotiations proceed without broad allied support, those divisions may grow, potentially reshaping international alliances and the global security architecture.
Source: ReligiousLibertyTV on Substack
