The David Lin Report · Wednesday, August 12, 2026
Ted Oakley suggests that the bond market's reaction is driven by a lack of trust in US fiscal policy, the Treasury, and the Federal Reserve. He argues that if one were to undertake a major financing, it would be difficult to do so with the US government for 30 years.
“Well, I think they look at, I think they look at US fiscal policy and you look at the treasury and you look at the Fed and they say, look, hey, you know what? We don't trust you. Bottom line, we don't trust you. And I can't say that I disagree with that because, uh, if you were doing a major financing, would you do a major financing with the US government today for 30 years? I doubt it. You know, and I think that's what the market said. They said, you know what, we don't trust you.”