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Amid global uncertainty, investors are parking their dollars.
These corporate bonds could end up competing for the same money that might otherwise go into U.S. Treasuries. That could drive interest rates higher.
U.S. dollars and treasuries seem to be losing their luster, comparatively.
But it would likely come with a side order of inflation.
There’s a hot debate about what it’s doing with its holdings, and the answer could affect how much it costs Americans to borrow money.
China cuts it U.S. debt portfolio to under $1 trillion, possibly to support its currency or reduce exposure to potential U.S. sanctions.