Why is it that when the U.S. dollar is downgraded US treasury bond yields decline. Why does not the yield go up and borrowing become more expensive when the risk increases? And why is it that these bonds are considered a safe haven when they are downgraded. When stocks are rocketing up and down like a roller coaster investors see these bonds that have become more risky as safe investment. Why not invest in bonds of countries with triple A ratings? Is it simply because the U.S. dollar is the world currency for the most part. If so why is there not more movement towards challenging its supremacy?
Cheers, ken _______________________________________________ pen-l mailing list [email protected] https://lists.csuchico.edu/mailman/listinfo/pen-l
