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Here are two reasons why I am less than comfortable with the US Treasury being drawn deeper into price determination in the government bond market: First, the track record of such intervention is shaky once you move beyond addressing market malfunction and/or preventing major institutional shocks—neither of which seems to be the case today. Second, it's usually not healthy when markets consistently dictate extraordinary official interventions rather than the other way around—which is a risk here. #economy #markets #bonds