Treasuries Liquidity Problem Exposes Fed to ‘Biggest Nightmare’

[carolina73]

The OP is about the dollar as the global reserve currency. The depth of the bond market gives its liquidity regardless of debt.

But I agree that your point is a serious problem.

But it all ties back to the risk presented by a currency backed by a country that is economically irresponsible and in debt that it can never recover from.

[Peter1469]

But it all ties back to the risk presented by a currency backed by a country that is economically irresponsible and in debt that it can never recover from.

Yes, that is a long-term problem for the US.

The only saving grace is that (1) the dollar is still the global reserve currency, and (2) the other relevant nations are worse off.