Walsh faces only two paths: either detonate a "Financial Crisis 2.0" or ignite a "Dollar Crisis 1.0"? - odaily.news
Walsh faces only two paths: either detonate a "Financial Crisis 2.0" or ignite a "Dollar Crisis 1.0"? - odaily.news
Source: odaily.news
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DW NOTE
Walsh inherits a Treasury market that moved $27 trillion last year while the Fed held rates stable and the deficit ran near 6% of GDP. If he defends the dollar by raising rates into that debt load, something in the credit structure breaks. If he holds rates and lets the deficit print, the currency goes. There is no third option — only which constituency he decides to burn first.