No big deal

US markets are CLOSED TODAY

Not necessarily UST selling. There’s the FIMA repo facility so JP gov doesn’t have to sell. The spreads between US and JP bonds have also narrowed significantly, making the carry trade less attractive. And the higher JP yields are inducing yen repatriation and JGB buying. Plus the strong expecta...

1. Default on your obligations 2. Inflate the debt away EVERY COUNTRY always choose option 2