Yen collapse dragging US Treasuries with it

🚨 U.S. Treasury Secretary Scott Bessent Just WARNED The Fed: Expand the FIMA facility NOW or watch the yen collapse and drag U.S. Treasuries down with it.

Japan is bleeding. The U.S. already intervened once… and it failed. Bessent is telling the Fed: “Help prop up the yen with… https://t.co/VtxTceFrKx pic.twitter.com/orOpJj5U6u

— Stern Drew (@SternDrewCrypto) August 5, 2026

U.S. Treasury Secretary Scott Bessent Just WARNED The Fed: Expand the FIMA facility NOW or watch the yen collapse and drag U.S. Treasuries down with it.

Japan is bleeding. The U.S. already intervened once… and it failed. Bessent is telling the Fed: “Help prop up the yen with dollar loans or Japan starts dumping American debt.”

Now Bessent is publicly pushing the Fed to expand its FIMA repo facility so Japan can borrow massive dollars against its Treasuries, instead of selling them.

This isn’t cooperation. This is desperation.

What’s really going on:

Japan holds over a trillion in U.S. debt. Selling even part of it would spike yields and crush markets. So Bessent wants Fed liquidity to paper over the problem.
Extremely risky long-term, terrifying consequences:

• Erases Fed independence as the Treasury publicly pressures it to expand facilities for a foreign crisis.

• Signals the world’s second-biggest U.S. debt holder is in deep trouble. Markets will test how far this goes.

• Turns a temporary tool into a permanent backdoor bailout. The market will force ever-larger interventions.

• Risks accelerating a loss of confidence in both the yen and the dollar.

BoJ Banker Yuto had earlier warned about forced U.S. interventions and it did indeed happen.

He also warned that BoJ has discussed the worst case scenario that considers collapse of creditors trust on U.S. dollars but Washington will never let that happen.

The famous City of London banker @LordBelgrave
had dropped this exact playbook at the start of the year, suggesting this crisis could very well be planned. He had also revealed that most of the financial crisis are engineered by central banks and IMF.

These backstops rarely stop the crisis, they just make the eventual reckoning far bigger.

By NC ScoutPublished On: August 5, 2026Categories: Uncategorized0 Comments

About the Author: NC Scout

NC Scout is the nom de guerre of a former Infantry Scout and Sergeant in one of the Army’s best Reconnaissance Units. He has combat tours in both Iraq and Afghanistan. He teaches a series of courses focusing on small unit skills rarely if ever taught anywhere else in the prepping and survival field, including his RTO Course which focuses on small unit communications. In his free time he is an avid hunter, bushcrafter, writer, long range shooter, prepper, amateur radio operator and Libertarian activist. He can be contacted at [email protected] or via his blog at brushbeater.wordpress.com .