Kopar Khairane
Buisness

Fears are raised by the US Fed’s comments on bond issuance on November 1

<p>The day of the Treasury Department’s impending quarterly refunding statement, November 1, has drawn the attention of US investors as Wall Street prepares for further sticker shock over the country’s spiraling debt, which has already exceeded $31.4 trillion.<img decoding=”async” class=”alignnone wp-image-257646″ src=”https://www.theindiaprint.com/wp-content/uploads/2023/10/theindiaprint.com-fears-are-raised-by-the-us-feds-comments-on-bond-issuance-on-november-1-download-2.jpg” alt=”theindiaprint.com fears are raised by the us feds comments on bond issuance on november 1 download 2″ width=”1070″ height=”712″ srcset=”https://www.theindiaprint.com/wp-content/uploads/2023/10/theindiaprint.com-fears-are-raised-by-the-us-feds-comments-on-bond-issuance-on-november-1-download-2.jpg 275w, https://www.theindiaprint.com/wp-content/uploads/2023/10/theindiaprint.com-fears-are-raised-by-the-us-feds-comments-on-bond-issuance-on-november-1-download-2-150×100.jpg 150w” sizes=”(max-width: 1070px) 100vw, 1070px” title=”Fears are raised by the US Fed's comments on bond issuance on November 1 6″></p>
<p>The US Treasury Department will provide a quarterly report on its intentions for bond issuance over the following three months on November 1st of this year. According to media sources, investors are worried about upward revisions on the bond market’s hunger for more Treasury Bonds, which would raise the bonds’ yields but cause a historic crash in the bond’s price.</p>
<p>Worldwide investors utilize US Treasury bonds, which are highly sought-after investment papers, as a reserve currency to protect their assets from sharp market swings.</p>
<p>Although it is a component of the US Treasury’s plan to keep inflation within the Fed’s targeted 2 percent range, it has an adverse effect on stock prices.</p>
<p>The scrip prices of several well-known firms, especially internet companies, have been hammered for 52 weeks due to investors’ tendency to shift their investments from stocks to bonds. Only last week, experts said, did these prices begin to ease somewhat.</p>
<p>September has seen a decline in stocks due to rising interest rates, bond yields, and oil prices. According to Market Insider, the Federal Reserve intends to maintain high interest rates in order to halt ongoing inflation.</p>
<p>On November 1st, the Treasury Department will publish an update on its intentions for debt issuance. Forecasts by a few Wall Street institutions about the quantity of Treasury notes to be put up for auction have increased. According to the Insider, investors in the bond market have shown a poor desire for the expanding debt supply.</p>
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