Japan quake to cause US debt default meltdown

www.thecomingdepression.net Japan holds enormous American government debt (US$882.3 billion of Treasuries at the year-end) and will want those hundreds of billions of dollars back, right now, to begin rebuilding its infrastructure and industry; that means America will have to substantially increase interest rates to get foreigners to buy enough treasuries to pay out the Japanese, or face the equivalent of foreclosure. When those interest rates jump, so will US loan and mortgage rates — something tens of millions of Americans with mortgages, credit card debt and other bills cannot afford to pay.

One Response to “Japan quake to cause US debt default meltdown”