The Risk in US Treasuries

... the cost of insuring against default, on a 5 Year US Treasury Note is now a full 100 basis points...

It now costs more than one half of your return to guarantee a midrange US sovereign debt note.

Now if you take the next step, and view that return on a guaranteed US 5 Year Note as effectively .92%, you would have to believe that the rate of inflation will remain under one percent for the next five years in order for there to be any real return at all (Return after Guarantee - Inflation).