a)if the rates climb, the Fed will step in to buy the bonds, pushing rates down.
b)If the rates climb, the value of the bonds will fall and the foreigners will lose too much, which will also moderate the sell-off.
c) The increase in dollar reserves will also tend to drive down interest rates on dollars.
What will happen is that the dollar will fall more relative to the Euro, Yen and Yuan: look for gas prices and other commodity prices denominated in dollars to go up, as foreigners look to recoup their FX losses from the Fed's inflationary policies.
Your response makes no sense. I said there would be significant implications for our own interest rates. You said “wrong” but then acknowledge twice that rates could climb. Very confusing. If you are confident that rates will fall, then you should put your money on it (go short).