Will a Japanese Fire Sale Crash U.S. Debt?
www.cnbc.com
Profligate government spending has institutionalized multitrillion-dollar annual deficits, which have driven up interest rates and left Treasury markets teetering on the edge. Now Japan is on the verge of a $400 billion fire sale of U.S. debt. This could break the back of the Treasury market and devastate Americans’ finances.
  • LemmyHead@lemmy.ml
    2·
    3 months ago

    They’d never do it if it’d hurt USA so badly. They rely strongly on them on many fields, including military support

    • ☆ Yσɠƚԋσʂ ☆@lemmy.mlOP
      81·
      4 months ago

      Japanese investors hold a large chunk of US bonds. With the yen rallying against the dollar and US rates being high, they’re looking to dump their bonds because otherwise they’re going to start losing money on them.