The US Treasury Market, Essential to the Global Financial System, Doesn’t Seem to Working

The once unshakable belief in the US Treasury market as the deepest and most liquid is now faltering. With foreign buyers retreating and the U.S. grappling with huge deficits amid high interest rates, the Treasury market is showing signs of distress. This shift is significant, marking a potential breakdown in a critical component of the global financial system, and raising serious concerns about the future stability of what were once considered ‘risk-free’ US Treasury bonds.