From Investing.com: 2025-04-11 03:07:00

The analysis of ownership and trends in holding Treasuries suggests that official holders, like governments, are likely to reduce their stakes, but this does not signal the end of the dollar as a reserve currency. US investors, not foreign governments, are the main holders of Treasuries. The trade war initiated by the Trump administration reflects a broader trend of geo-economic fragmentation, potentially impacting the demand for US federal debt. As the global economy moves towards further fragmentation, the demand for US Treasuries may shift due to valuation risks for dollar-holders. The model used in the analysis explores the implications of this potential shift in demand for US federal debt in response to geo-economic fragmentation.



Read more at Investing.com: International Trade Suppression Prompts New Look at US Treasury Strategies