So is America fubar?
>>62606401been that way since the war of northern aggression
>>62606401Nope just SNAFU
>19 yearIts fine so long as its new ath
>>62606407This. Long live Dixie.
>>62606407>war of northern aggression>The war were the South invaded the North. Da fuq?
>>62606559>tell yankees to get out of their fort on our land>invade the northPick one.
>>62606401As I understand the math, then the market value of the bond is essentially the difference in the yield of the bond you have and the current yield, multiplied by the remaining years of maturity.So if buy a 30 y at 5.3% today, and 3 years from now the rate sits at 2%. The market value of your bond is essentially twice of the face value, a 100% ROI.This is on top of the 5.3% annually.It seems like a good investment, the only risk you take is being locked in on the 5.3% (rates goes up, and the market value of your bond goes down).
>>62606401why doesnt america just print some money to pay it off ??
>>62607198The concern for such a long-duration bond is that inflation might exceed the yield, in which case you’re better off putting the money in assets that move with price increases. Right now, the US is having a difficult time convincing potential investors that they’re committed to the Fed’s inflation target since they’ve missed it so many times in a row. Technically there is no risk (aside from government default) in a bond so long as you hold to maturity. The risk stems from what you could otherwise be doing to protect your money from inflation.
>>62607228The risk is that given current trends in Federal spending, Federal revenue, and interest rates, the moment when interest on the national debt will exceed all revenue will come long before the maturity of the 30 year note. At that point, there will be only two choices for the US government - de jure default on debt by refusing to pay or de facto default through inflation. Either way your bonds will be toilet paper.
>>62606407we could have been a white ethnostate if not for fat white southron hicks too cheap and lazy to use anything besides black slaves.Shermans only crime was not burning every single southerner alive.
>>62607454Those southern peaches just couldn't take the heat I guess ¬‿¬
we did it reddit
>>626074912, 4, 6, 8BOOMERS DYING WAY TOO LATE
>>62607429I’ve had this conversation a few times and while I agree that, as I said, inflation is what drives up bond yields and wouldn’t personally invest in them, I don’t think that the US interest-on-debt will exceed revenue anytime soon, and I don’t think hyperinflation will happen either. Economies are more resilient than people think.
>>62606709Any excuse to stop Lincoln the Cryptojew’s implementation of Property Taxes for the first time in American History. A cause worth dying to prevent IMO.
>>62606709>>tell yankees to get out of their fort on our land>>invade the northYeah if you invade a military fort while declaring independence that is an invasion.
>>62606401yield curve control negative real rates highly inflationary, gold to 40k reprice and do a tga deposit also inflationary and puts a bullet in the dollar as reserve currency happening regardless or tokenize everything and inflate the stablecoin market cap to 10+ trillion
>>62607228how they going to get inflation to the feds arbitrary 2% with 1+trillion in interest spending and 2 trillion in fiscal deficit spending, banking lending is fine tech is going to plow through any 25bps hike but these rates are wrecking everybody else
>>62607622Have you done the calculations on the debt and interest? I did. And I used more conservative interest rates than the Treasury is now facing and I also didn't take into account the probability that savvy investors and governments are going to increase their disposal of Treasury holdings long before the final days, accelerating the process. 15 years tops with current trends lines. And it has nothing to do with economic resilience. It has everything to do with the lack of any political will to stop runaway spending.
>>62607198This only works if the US can get its deficit under control (it cannot)
>>62606407>The South are still butthurt they didn't get their shitty confederacy Alexander Hamilton was right and Thomas Jefferson was wrong.Thank God George Washington listened to Hamilton and not Jefferson about the US and how it should be a large country built around industrialization and trade commerce like England and not a small confederacy that only export farming products.We would never have become nearly as powerful and successful if we listened to Jefferson and the South.
