U.S. Insists China Fears Over Debt Unfounded
It just seems to me, the economic simpleton I am, that pumping vast sums of money into the economy, vastly easing credit, opening the faucets of liquidity, and opening the spigots of gov’t spending is a recipe for inflation and a crash in the US treasury bonds (maybe soon but most deflinately in the long term) as the US won’t be able to sell enough of them cheaply to finance its incredible debt. Throw China’s threat to dump US Bonds and it’s a sure bet (it’s just timing, timing!!). I mean hasn’t it become apparent now that anomolies in the economy will correct themselves in a devastating fashion, it’s just a matter of time.
A bit dated but an interesting article:
Why Shorting Treasury Bonds Might Just Be Too Obvious