Foreign buyers stepping back from US debt market.
This means more money printing and yield control later.
Pain moves from bond markets to currencies and inflation.
Japan holds about $1.21 trillion US Treasuries.
UK holds about $937 billion.
Both now face rising yields at home.
Japanese 10-year and 20-year JGB yields at 30-year highs.
BOJ reducing bond purchases while government wants more spending.
Private banks cannot absorb all new supply.
Weak yen adds pressure on carry trades.
Japan holds around $1.2 trillion of US debt.
The UK holds around $937 billion.
They are the two largest foreign holders of US Treasuries.But here is the problem:
Both are now facing serious stress in their own bond markets.
Japanese yields are rising.
UK yields are rising.… pic.twitter.com/3ZpaVIq8wO— Macro Liquidity by Sunil Reddy (@Macrobysunil) July 7, 2026
THE MOST DANGEROUS MARKET IN THE WORLD RIGHT NOW IS JAPAN.
Japan's 10 year and 20 year bond yields just hit 30 year highs.
Both moved to their highest levels in three decades.
The 10 year yield is up 137 basis points over the past 12 months, and up another 9.1 basis points in… pic.twitter.com/ADaBs5BHAE
— Bull Theory (@BullTheoryio) July 7, 2026
Americans are about to learn a very harsh lesson in international finance and what happens when debt liquidity dries up… https://t.co/PPftpvAjkf
— HealthRanger (@HealthRanger) July 7, 2026