Although US Treasury bonds and bills are considered low-risk investments, as the US government backs them, many countries have significantly exited them for economic and political reasons, especially countries that have large investments in the United States. This raises concerns about the possibility of a shock to the US debt market, which might have an impact on both the US domestic and international economies.

In order to preserve the value of their dollar reserves, some countries resort to converting US dollars into US debt to obtain a modest interest gain, and with increasing concerns about the escalation of global geopolitical risks, this has led to an increase in investors’ interest in purchasing US Treasury bonds in global financial markets, because they are considered safe havens, and at the same time, some countries have reduced and withdrawn their investments from the US Treasury bond market, particularly those that have significant investments in the US or are afraid that Washington will use the bond market as a tool to exert pressure on them—especially in light of the US sanctions imposed on certain countries.

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