Maturity structure of US treasuries: 30% matures by end of 2023 – Crypto News – Crypto News
Connect with us
Fed forecasts ‘mild recession’ in 2023 Fed forecasts ‘mild recession’ in 2023

Cryptocurrency

Maturity structure of US treasuries: 30% matures by end of 2023 – Crypto News

Published

on

Quick Take

  • Horizon Kinetics breaks down the maturity structure of US treasury securities out to 2052, a total of $23.8 trillion.
  • Maturity dates, years to maturity, and weighted average maturity are presented in a cumulative breakdown table.
  • Based on figures from the end of 2022, this data reveals $23.8 trillion worth of outstanding debt that needs to be rolled over for different durations.
  • By January 2026, over 50% of the debt will mature, and 30% by January 2024.
  • The main issue is the federal reserve has been hiking rates at the fastest rate for over 40 years, so the debt will have to be serviced at higher rates.
  • Gabor Guraca strategy advisor at Tether, also points out that rates were held too low between 2008 and 2021, and the subsequent changes “hiked to 5% too quickly.”
  • As the Fed stays higher for longer on the federal funds rate, this will continue to have a more significant % share of the US budget, which will eat into other sectors such as education.
FED Funds: (Source: Gabor Guracs)
US Treasury Securities: (Source: Horizon Kinetics)
US Treasury Securities: (Source: Horizon Kinetics)

The post Maturity structure of US treasuries: 30% matures by end of 2023 appeared first on CryptoSlate,

Trending