The US Treasury bought back $2 billion of its own government debt.
Simply put, at current rates, bonds are being bought worse than needed.
▪️ Investors demand higher yields
▪️ Servicing the debt is becoming more expensive
▪️ The government is starting to support the market manually
If the trend continues, the choice is simple: either lower rates or start the printing press. Both scenarios will lead to pressure on the dollar and increased interest in real and digital assets.
Simply put, at current rates, bonds are being bought worse than needed.
▪️ Investors demand higher yields
▪️ Servicing the debt is becoming more expensive
▪️ The government is starting to support the market manually
If the trend continues, the choice is simple: either lower rates or start the printing press. Both scenarios will lead to pressure on the dollar and increased interest in real and digital assets.
