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Us Bonds

All articles tagged with #us bonds

Oil and Bonds Rally as Trump-Iran Reparations Row Complicates Hormuz Deal
business21 days ago

Oil and Bonds Rally as Trump-Iran Reparations Row Complicates Hormuz Deal

Oil prices and US Treasuries rose as Trump demanded reparations from Iran for Americans killed or wounded and for damages in the region, while Iran pressed for sanctions relief and to keep the Strait of Hormuz closed until assets are released; markets priced in higher inflation and a possible Fed rate hike, with Brent about $89.8 and WTI around $84.2, and yields climbing across the curve (2-year > 4.25%, 10-year > 4.7%, 30-year > 5.27%). Despite US claims of Hormuz control, shipping data show traffic remains far below normal as talks stall and economic pressure mounts.

The Impending Economic Disaster of a US Default.
finance3 years ago

The Impending Economic Disaster of a US Default.

The debt ceiling crisis is causing short-term costs for insuring U.S. bonds to skyrocket, and repeated flirtations with debt default are already having subtle negative long-term effects in global markets. The $30 trillion market for credit default swaps is indicating that the debt ceiling standoff is truly serious. The cost of insurance for U.S. bonds over the next 12 months is about 50 times the price for Germany and about three to seven times that of countries like Bulgaria, Croatia, Greece, Mexico, and the Philippines. The United States is the core of world finance, but its periodic flirtations with debt default are putting it at a long-term competitive disadvantage.