Dear friends and colleagues:
My op-ed on today’s Financial Times homepage explains why historic market pressure on long-term U.S. government debt will only intensify while the Trump administration resorts to short-term gimmicks like Treasury buybacks. America is losing its captive creditors, such as foreign central banks, requiring ever-higher interest rates to draw demand from price-sensitive households and investment funds. What is needed now, above all, is a credible medium-term debt stabilization plan requiring automatic spending cuts when debt-to-GDP rises above a defined level.
I hope you find the piece of interest. Regards, |
