Mnuchin’s Longer Bonds No Guarantee for Lower Interest Burden

  • Increase in maturity profile may raise interest burden
  • Treasury should think twice before embracing 50-years bonds

A closer look at the current breakdown of interest payments on U.S. debt should cause President-elect Donald Trump’s Treasury Secretary pick Steven Mnuchin to pause before endorsing the sale of ultra-long bonds as a cushion against rising rates.

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