https://www.barrons.com/articles/the-fed-is-buying-more-auto-makers-bonds-than-wall-street-expected-51593446342?siteid=yhoof2&yptr=yahoo
The US FED is buying more auto-makers bonds now! We did warn about the US car debts in May 2020.
http://sg-stock.blogspot.com/2020/05/the-us-debt-market-is-going-to-implode.html
Why is the US FED buying auto-maker bonds?
Well, the US FED wants to support the auto-makers so that they don't need to meet their cashflow needs by discounting their new car prices since doing so will impact the secondary car market (used car prices). If the auto-makers rush to slash their new car prices, the US car debts will suffer massive markdowns and this will expedite a crash in the car debt market.
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