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75 sats \ 2 replies \ @Cje95 30 Apr
Dont count out Blackrock and Vanguard to buy vast amount of them to be able to leverage that in the future. Everyone has been worried about China but in my opinion, those two companies are a much much bigger threat.
Also retirement accounts/pensions will buy them as well cause that is just what they seem to do.
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Definitely. I count those two companies as part of the US government.
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75 sats \ 0 replies \ @Cje95 30 Apr
If you want to do an interesting deep dive look into Blackrock I mean it was only founded in 1989 after Larry Fink lost $90 mil. It was 2009 when the US Treasury chose them it was super charged
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75 sats \ 0 replies \ @nym 30 Apr
They don’t even keep up with inflation.
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Stable "shitcoins"
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"an inflation-protected and nearly risk-free asset"
Famous last words.
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But the fixed rate could still appeal to long-term investors, experts say.
With experts like that...
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It's a 6 month treasury. What does it say about the state we are in that 6 month duration investments are "long term investments".
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Exactly
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20 sats \ 0 replies \ @Cje95 30 Apr
Hell at that point might as well get a CD! Roughly the same rate and time!
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74 sats \ 0 replies \ @Cje95 30 Apr
The only pro I can see is the tax deferral that you can do for Federal tax and if I lived in Cali or New York I wouldn't have to deal with state or local tax on them...
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WTF! Another hellish seduction by the fuckin' govs!
I feel for those who but these and obey these bastards.
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Exactly !
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‘One solution to the dollar’s exorbitant strength would be for the US to issue far more debt. The US is the only country in the world that can buy everything it needs in its own currency. It has no risk of FX crisis, and the only serious risk of sovereign default comes from its own politicians. So it could simply swamp the world with US Treasuries. This would drive down the dollar exchange rate, benefiting both US exporters and struggling businesses in developing countries. It would also fuel domestic inflation, which the Fed could be hard-pressed to contain - for economics nerds, this is “unpleasant monetary arithmetic” (UMA).’
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54 sats \ 1 reply \ @Cje95 30 Apr
By any chance did anyone happen to see Boeing tapped into the debt market yesterday? Raised $10 billion and I want to know who the hell bought those
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Good point. The US government certainly has an incentive to make sure they sell.
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They will sell lots of those to older boomers. Their advisors will ensure it.
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From ‘nostr’ - it seems relevant here for a wider perspective on bonds.
🇺🇸💸📨🏭🇨🇳&👟☠️📝💸
AMERICAN DEBT EXPORTS TO CHINA AND THE COMING DEATH OF PAPER MONEY
America and China, the intertwining is deep. Capital is preventing conflict. So many millionaires and billionaires would lose out. But, the Chinese know very well the dollar is on life support and the US has a closing window to steal China's wealth in order not to be a fifth world country for the next century. It seems that the US hegemons want very much for a new conflict, but debt and capital are reasons why this cannot easily happen with regard to China.
The dollar has seen it's heyday, but it's immanent “collapse” is probably not right around the corner. If you view US hegemons and IMF hegemons as your enemy, you have to respect your enemy,
Therefore, the fact that China still has so much US debt, and is heavily invested in the US itself ensures China isn't seeking to throw the first stone. The US, on the other hand, doesn't want to immediately precipitate the ACTUAL collapse of the dollar. But Russia, China, and Iran are in an economic war with the US, EU, etc. None of those three countries will be using the dollar for much longer except with the US. Russia is de-weaponizing them in Ukraine. And Iran showed them how inadequate their defenses are with five hours of junk tossing. You probably still can't find a vacant toilet stall in Tel Aviv.
And all that debt that China holds is practically worthless. But holding the debt is the biggest weapon system in the world. The $, £, € are toast as soon as one decent sized holder sells. If it's a coordinated attack, it's nuclear.
A major armed conflict is not probable. But crippled with a worthless currency, the United States could be paralyzed for decades. The United States has never been so far out on the edge of a precipice. And since much of the population can't identify the problems they ignore them. No one wants to believe the juggernaut has a leak. Much less a few dozen.
Something embarrassing, though, might happen. If not this year, then next, because they have never faced a foe remotely like the Russia, Iran, China combo.
The threat alone could be enough. But, a word of caution. China's ownership of American debt is not useless, even though it is everyday less tied to any real value and it's psychological value continues to decrease.
Someone once said that the USA never had to carry its own weight. If so, Americans will be facing harsh realities.
We need to remember that BRICS countries will bring out the next reserve currency, soon. With this in mind, China has been buying 20% more physical gold in the last quarter. Most countries are permanently withdrawing their gold from the US. This is similar to the 1970's. But this time there are no Henry Kissinger's and modern aircraft carriers are only good for cruising tours for Chinese tourists. So, the math is pretty simple and the "trust" that the hegemon enjoyed during the last Bank of International Settlements maneuver it made creating fiat currency is gone. With or without stealing assets from the Russian Federation, "freezing Russian assets" was enough to push Switzerland out of permanent "neutrality".
Gold is a specific element of the universe. Gold is information. Information is gold. Only one little "ping" in the strait of Hormuz is enough to show this beyond doubt.
Obviously, the entire Western world is battling spiritual weaknesses. And debt always extended the time available for not dealing with it. There seems to be no soft landing left. Money, as in fiat currencies, needs memory holing. The only real questions left are the how/when. Not the why.
How? Easily. When? Any time you want. After all, it will not be an overnight switch but it will happen. There is zero doubt that the yuan and ruble are positioned to fill the dollar's vacuum.
Western institutions of all kinds will fall. And, humility is a concept Western "values" are going to have to become conversant with.
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the bank of japan will surely buy them
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they stopped buying.
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It was time for them to stop buying.
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But now they have higher inflation. Or it's getting too expensive to breath in Tokyo scenario.
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It's sell time in Tokyo. Unfortunately they have tried selling US bonds too often. It's not working anymore. They have to raise interest rates.
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60 sats \ 0 replies \ @Hamstr 1 May
I think they're in too deep. They're not doing great, depression and are trapped by a small group in government to keep status quo. That's why YOU don't see innovation come out of that country. They used to top dog in electronics, whose top dog now? Lots of korean products in the market today. Why do you think that is?
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