What about if Asian investors see the fed buying long term treasuries with printed money to create inflation, as this article says, and start selling treasuries and dollars?
Democrats are proposing, even the stimulus plan, many structural inflationary measures on top of the fed printing money and huge deficits. These will make it harder to deflate in the next crash. Just like health care prices cannot deflate now. Or even many food prices, all government controlled.
Anyone who bought oil in 2007-2008 was taking a high risk. I heard predictions of even greater gains but ignored them. fast run ups scare me. But at these lows oil, grain, rice, all those commodities are pretty much guaranteed to make big money in a few years.
The Asians investors = the government and they won’t sell the long bond as it would send their own currencies soaring and the value of the current bonds would become near worthless. China & Japan are already talking about figuring out a way to devalue..selling UST is not how you accomplish that.