US & Japan face debt abyss as bond yields signal turmoil - bankingnews.gr
US & Japan face debt abyss as bond yields signal turmoil - bankingnews.gr
Source: bankingnews.gr
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DW NOTE
The 10-year Treasury yield is at 4.63% with the U.S. running an $1.8 trillion deficit through July and the Fed at 3.75%. Japan's yield curve control regime collapsed in March when the BOJ finally stopped buying unlimited bonds to hold the cap. The "abyss" is the arithmetic: when the cost of servicing your debt exceeds your ability to raise revenue without triggering capital flight, you're not governing — you're managing a liquidation.