A Foreign Threat to U.S. Treasuries That Dwarfs Fed's Debt Hoard
- Trillions of dollars in negative-yielding bonds turn positive
- International buyers may shift away just as Fed pares holdings
The Foreign Threat to U.S. Treasuries
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These days, it seems like everyone in the bond market is obsessed over what will happen when the Federal Reserve starts whittling down its mammoth, crisis-era investments in U.S. government bonds.
Yet lost in the hullabaloo is one little-noticed fact: there’s an even bigger debt pile that could draw buyers away from Treasuries at just the wrong time.