Yield surge and Treasury buyback: how debt dynamics threaten American dominance - The Standard (HK)
Yield surge and Treasury buyback: how debt dynamics threaten American dominance - The Standard (HK)
Source: The Standard (HK)
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DW NOTE
The Treasury is issuing debt to fund a $2 trillion deficit while simultaneously buying back its own bonds to manage duration risk. When a borrower becomes both the largest issuer and a major buyer in the same market, that's not liquidity management — it's a Ponzi structure with a central bank backstop.