Despite Moody’s recent downgrade of the U.S. Treasury’s credit rating, foreign investors are unlikely to abandon the U.S. Treasury market due to a lack of readily available alternatives, according to Odaily. Lindsay Rosner, Multi-Sector Investment Director at Goldman Sachs Asset Management, highlights the scarcity of AAA sovereign credit ratings globally, with only around 11 countries holding such classifications. These nations’ bond markets are far smaller compared to the U.S. Treasury market’s scale and depth, as Rosner emphasizes. She further argues that if long-term Treasury yields remain above 5%, hedging effects, particularly interest rate spreads, may become attractive for investors.