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Chicago Treasurer Halts New U.S. Treasury Investments in Protest of Trump

Critics question whether the treasurer has authority to steer city investments away from U.S. debt.

Overview

  • At a City Council budget hearing, Melissa Conyears-Ervin ordered an immediate stop to purchasing Treasuries for the $10–11 billion portfolio.
  • Chicago currently holds no Treasuries but held more than $200 million in the past three years, according to the treasurer’s office.
  • Conyears-Ervin said funds will shift to instruments such as corporate bonds, money markets and asset-backed securities while preserving safety, liquidity and returns.
  • Aldermen including Raymond Lopez, Bill Conway and Anthony Napolitano condemned the move as political and risky, citing Treasuries’ unmatched liquidity and security.
  • Her staff is drafting an ordinance to permit further changes, and roughly $2 billion in money-market holdings tied to Treasuries remain an unresolved issue.