Jan
31
Treasury Has Wall Street Dreaming Up New Bond Ideas
By-
Borrowing committee’s list includes perpetuals, zero-coupons
- America’s financing needs to exceed $12 trillion over decade
The U.S. Treasury is beginning to think outside the box about ways to fund escalating borrowing needs that are on course to exceed $12 trillion over the next decade just as foreign demand for America’s debt is stagnating
Treasury Secretary Steven Mnuchin tapped his committee of external advisers on borrowing this month to assemble a list of potential new debt securities the government might use to expand its investor base. The brainstorming comes as the federal budget deficit is forecast to exceed $1 trillion in fiscal 2022 and as the nation’s debt burden has surged to $15.6 trillion, up more than $1 trillion from the end of 2017…
Treasury Has Wall Street Dreaming Up New Bond Ideas
