Re: Inflation/USD/USTs – “Risk-Free” Riskiness & Austrian Pipe Dreams.

An explanation of what it means to be "Risk-Free" and why US Treasury securities will remain the most liquid and trusted reserve asset for the foreseeable future.

In recent weeks, I have read many incorrect and misleading takes on Twitter by folks who are decrying recent interest rate volatility as some kind of “false advertising” of the term “Risk-Free” when it comes to US Treasury securities (USTs). These takes go something like this:

Didn’t the good folks at Silicon Valley Bank just buy ‘Risk-Free' USTs that go…