An $80 Billion Treasury Shift Could Be a Warning for U.S. Bonds - inkl
An $80 Billion Treasury Shift Could Be a Warning for U.S. Bonds - inkl
Source: inkl
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DW NOTE
The Treasury doesn't shed $80 billion because investors suddenly rediscovered risk. It sheds $80 billion because the Fed is about to hike into a supply shock with the 10-year already at 4.95% and oil at $101. Foreign holders have watched the U.S. run deficits 3% higher year-over-year while the Strait stays shut and inflation bakes back in. They're not rotating — they're repricing the cost of funding a government that thinks it can tighten and borrow simultaneously.