Kim Perales on Nostr: "Given the impt role US TSYs play in the global FIN system -complicated by the geopol ...

"Given the impt role US TSYs play in the global FIN system -complicated by the geopol aspects assc w the China-US trade war. (CN owns a lot of TSYs.)

I suspect quite a few other holders, incl foreign central banks, worry that they may get caught in the cross fire — a possible lose-lose situation:
Continue to hold & lose bc China disposes of their TSYs in size,
Or Sell & lose the advantages of holding the traditionally most-liquid safe haven."
-M El-Erian
#Tariffs #USPol https://www.wsj.com/finance/investing/wall-streets-smart-money-braced-for-tariff-chaos-it-was-still-caught-off-guard-48588858?st=2HSXTd