BlackRock Says Surging US Debt Could Fuel De-Dollarization
According to a Reuters report of BlackRock’s Q3 fixed income outlook note, the world’s largest asset manager is concerned about the rising US government debt. The financial institution believes that the surging debt could drain investor interest in US long-dated treasuries and the US dollar. Investors could instead look outside the US for investment opportunities. Also Read: BRICS: 50+ Nations Now Use Yuan, Rupee, Ruble, Not US Dollar in Trade De-Dollarization May Gain As US Debt Rises Source: Watcher.Guru According to BlackRock’s fixed income executives, de-dollarization risks could increase due to rising government debt. According to the report, “ We’ve been highlighting the precarious position of the US government’s indebtedness for some time now, and, if left unchecked, we view debt as the single greatest risk to the ‘special status’ of the US in financial markets. “ President Trump’s tariffs have led to substantial market fluctuations...