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Strategies & Market Trends : The Epic American Credit and Bond Bubble Laboratory -- Ignore unavailable to you. Want to Upgrade?


To: Michael Collings who wrote (20165)10/18/2004 1:18:50 AM
From: ild  Respond to of 110194
 
<<<You think those Asians are just going to sit back and watch their 47% ownership of US Treasuries drop in half or more? >>>

Yes. Asian central banks, Japan's CB in particular.



To: Michael Collings who wrote (20165)10/18/2004 2:00:26 AM
From: mishedlo  Read Replies (3) | Respond to of 110194
 
They'll start selling what they already own causing interest rates to skyrocket.

And exactly what will they be buying?
Selling treasuries for what?
Euros? YEN?
Is Japan or Europe that much better off?
Is a worldwide recession better?
They will kill their own economies if they do.

It will happen one day. After China or someone else has demand.
3-4 years from now perhaps.
After the next recession.

Mish