The market for global bonds historically has been safe and subdued. However, in 2022, the international bond market has turned extremely volatile, with the selloff resulting in trillions of dollars’ worth of losses.
From U.S. Treasurys to UK gilts, many advanced economies have been affected by the chaos unfolding in the industry.
US Treasury Buybacks
Following a speech last week, U.S. Treasury Secretary Janet Yellen acknowledged that “we are worried about a loss of adequate liquidity in the market.” As a result, the Treasury Department could begin intervening in the $22.6 trillion U.S. government debt market, the world’s largest, by engaging in bond buybacks….