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(Banks holding troubled countries' bonds would also suffer).
So the big countries bonds' will be bought along with small.
But exchanges handle other sorts of trading too, such as commodities and, in some countries, bonds and foreign exchange.
China has been buying corporate securities and other countries' bonds for its reserves, while American borrowing has also been growing.
The quickest fix would be for America's Congress to amend the Foreign Sovereign Immunities Act and shield payments on other countries' bonds from seizure by the issuer's creditors.
Fears of a sovereign default in either Italy or Spain re-emerged, and the interest rates on those countries' bonds soared.
Similar(34)
Both countries' bond yields have risen to alarming levels.
But since Monday, both countries' bond rates have fallen back a bit.
That would widen the spread of these countries' bond yields over German yields.
But today inflation is already low, as are most countries' bond yields.
The ECB has also promised to support other countries' bond markets in the event of a Greek accident.
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