Is It Time to Start Selling 100-Year Bonds?
The Debt

Is It Time to Start Selling 100-Year Bonds?

ALKIS KONSTANTINIDIS

With the U.S. facing a $12 trillion deficit over the next decade, the Treasury Department is exploring ways to maintain robust demand for American debt.

One option being considered is the sale of “ultra-long-term bonds” with maturities of 40, 50 or even 100 years.

Writing at Bloomberg, bond strategist David Ader says that the average maturity of U.S. debt – 5.75 years, or 69 months – is low compared to its peers, and with 30-year Treasury bonds below 3 percent, this could be a good time to start issuing long-term debt.

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