tag:blogger.com,1999:blog-6244999628674918029.post5770939896698846416..comments2024-03-29T08:01:26.952-05:00Comments on Bayou Renaissance Man: Are foreign holdings of US debt a security threat?Peterhttp://www.blogger.com/profile/10595089829300831372noreply@blogger.comBlogger1125tag:blogger.com,1999:blog-6244999628674918029.post-74963922063603772172013-05-05T08:25:45.018-05:002013-05-05T08:25:45.018-05:00The Fed is essentially mark to market, so a countr...The Fed is essentially mark to market, so a country doesn't have to go completely nuclear to hurt us.<br /><br />If a foreign owner were to start dumping enough Treasuries to push the market down quickly, at a steady enough pace to keep it up for weeks, the Fed would be forced to write down the value of their treasuries. That would push their books out of balance, and they'd have no good options to bring them back in line.Kentucky Packrathttps://www.blogger.com/profile/01444480982718107017noreply@blogger.com