Analysis: Debt-laden world, rising bond yields – a toxic taper tantrum combo

Reuters/Dhara Ranasinghe and Karin Strohecker

Repost from 2-22-2021

cartoon image of someone digging a hole“In May 2013, bond investors threw a tantrum after hints the U.S. Federal Reserve might slow the money-printing presses. A similar selloff now, with another $70 trillion added to global debt, could prove to be far more vicious.”

USAGOLD note:  The first law of holes applies here, i.e., “when you’re in one stop digging” – but the Fed is in no position to do otherwise. If it does, the reaction likely will be “vicious,” as the authors of this piece worry.

Share
This entry was posted in Today's top gold news and opinion. Bookmark the permalink.