Nobody wants U.S. Treasury bonds
#1

https://www.semafor.com/article/11/28/20...sury-bonds
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#2

When nobody wants US treasuries ...global economy will be in trouble as rates will spike.

But demand for US treasuries will never end as trade surplus countries needs a place to park money. There is no choice but to buy US treasuries or stocks.....there is nothing more liquid and proven...

I, being poor, have only my dreams; I have spread my dreams under your feet; Tread softly because you tread on my dreams.
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#3

It is common sense that the demand for the US Treasury will reduce when the Fed Fund Rates are kept higher for a longer period. It would be worrying if the demand did not increase after the Fed starts to cut rates next year.
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#4

The article's title is too dramatic. Yes, USD as a percentage of world reserves has fallen from as high as above 72% at the start of this century to as low as around 58% recently. It is now back to 59%. But there is still demand for it.

As the world reserves grow, although USD's percentage of world reserves is dropping fast, the absolute amount is still large.

I think as USD's percentage of world reserves drop lower, it will become harder and harder for it to drop. Unless something really drastic happen which I do not foresee.
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#5

(01-12-2023, 06:20 AM)sgbuffett Wrote:  When nobody wants US treasuries ...global economy will be in trouble as rates will spike.

But demand for US treasuries will never end as trade surplus countries needs a place to park money. There is no choice but to buy US treasuries or stocks.....there is nothing more liquid and proven...

What do you mean it's more "liquid"?!

It depends ... that surplus money you saved can be robbed by the US govt!!! This is the very reason why so many countries are diversifing! Imagine your hardwork brow-sweating earnings all stolen by the big bully just because you disagree with him/her!

Your thinking is too simplistic and naive at best!
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#6

It's like warning the eunuchs and slaves not to run away from the masters, else they'd die of hunger if they do so.
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#7

It is highly demanded everywhere lah .. instant cash ... Treasuries record high record volume record issuing keep bursting to new highs
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#8

(01-12-2023, 08:35 AM)red3 Wrote:  It is highly demanded everywhere lah .. instant cash ... Treasuries record high record volume record issuing keep bursting to new highs




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