America's Treasury market faces threats from debt, fragmentation, and trade policy

Summary

The article discusses the critical importance of U.S. Treasury bonds as the world's safe asset, and examines three major threats to their stability: high government debt levels, fragmented and illiquid market structures, and aggressive trade policies under the Trump administration. It argues that the Treasury market's dysfunction has grown worse and that reforms are needed to preserve its role as the bedrock of global finance.