[a / b / c / d / e / f / g / gif / h / hr / k / m / o / p / s / t / u / v / vg / vm / vmg / vr / vrpg / vst / w / wg] [i / ic] [r9k / s4s / vip] [cm / hm / lgbt / y] [3 / aco / adv / an / bant / biz / cgl / ck / co / diy / fa / fit / gd / hc / his / int / jp / lit / mlp / mu / n / news / out / po / pol / pw / qst / sci / soc / sp / tg / toy / trv / tv / vp / vt / wsg / wsr / x / xs] [Settings] [Search] [Mobile] [Home]
Board
▼ Settings Mobile Home
/pol/ - Politically Incorrect


Thread archived.
You cannot reply anymore.


[Advertise on 4chan]


No one wants American Dollars anymore
Bonds are going hyperbolic
>>
What's this mean? I know it's not good. But, what's it mean?.

We can't borrow money anymore because nobody will lend us because we're retarded?

Is that a problem? Can't we just print money? Or even if we print it, nobody's accepting it?
>>
>>543598895
Zoom out
>>
>>543598985
It means nothing anon, a complete and utter nothingburger
>>
>>543598985
in 10 years government will have to pay bond holders whatever they paid plus 5% interest so government can make up more money to buy from the federal reserve. this is probably wrong but my understanding until someone more knowledgeable corrects me
>>
>>543598985
it means the value of the bonds is going down

you (government) dont print money, you exchange bonds with a private corporation and pay them interest
>>
>>543599209
It's 5% a year interest. This is fine because the stock market grows significantly faster than that.
>>
>>543598985
It means the US is being seen as less and less creditworthy. They don't believe bond yields will outpace inflation, because inflating away the debt is the only reasonable thing one can do with 40T in debt. This makes the debt situation even worse because it is slowly being refinanced to current yields. 5.3% on 40T debt is over 2T in interest payments per year alone. Which means we will have to print to control bond yields, which will create more inflation, which will mean higher rates etc.
In other words, yields and inflation will continue to climb over the coming years. Bondholders will be put underwater.
The retarded jews telling you to zoom out don't want you to see that rates were steadily DECLINING for 40 years and that tend has reversed. So now we have high debt + increasing rates on that debt.

One other area this directly effects are mortgage rates. Boomers had access to a free money glitch, they bought their homes for $70000 at 14% in the 1980s, but as rates dropped and home values increased, they could refinance every few years and pull a bunch of money out as equity while lowering their monthly payments. This free money could be used as down payments on additional houses, cars, remodels, paying down credit card debt, etc. that gravy train is over because with rates continuing to rise it never makes sense to refinance, so instead you get trapped in your home and have no financial lifeline that ReFis provided access to. This will be harmful to the wider economy.
>>
>>543599209
>plus 5% interest
5% interest annually, not only once after 10 years.
>>
>>543598985
The debt (a form of money printing) doesn't really matter as long as people (investors, foreign central banks) keep buying our bonds. The interest rate is rising because nobody's buying the bonds. So, they will have to severely devalue the currency to pay back the debt
>>
>>543598985
Yeah we can print money. Print trillions of dollars and pay of the debt overnight, easy peasy. Nothing bad can possibly come from that
>>
>>543599209
You should buy those bonds
5 percent EVERY SINGLE YEAR!!!
>>
File: 16786049654028106.png (149 KB, 583x584)
149 KB PNG
>>543598895
>THE HAPPENINGS ARE HAPPENING
>THE STRAITS ARE CLOSING
>THE BIRTHRATES ARE PLUMMETING
>THE MAGNETIC FIELDS ARE WEAKENING
>THE NEETS ARE NEETING
>THE NUKES ARE DROPPING
>THE SHITCOINS ARE DUMPING
>THE TARIFFS ARE HITTING HARD
>THE REAL ESTATES ARE OVERWHELMING
>THE AI IS TAKING OVER
>THE BANKS ARE COLLAPSING
>THE YIELDS ARE SPIKING
>THE RATES ARE RAISING
>THE PETRODOLLARS ARE DYING
>THE BONDS ARE DEFAULTING
>THE INSIDERS ARE SHORTING
>THE MONEYS ARE INFLATING
>THE PENSIONS ARE PONZYING
>THE FAMINES ARE COMING
>THE MARKETS ARE CRASHING
>THE JOBS ARE RECEEDING
>THE UBI'S ARE DROPPING
>THE DEBTS ARE PILING UP
>THE CYBERCRIMINALS ARE HACKING
>THE BLACKOUTS ARE COMING
>THE WORLD WARS ARE STARTING
>THE WEST HAS FALLEN
It's over but I still have to go to work tomorrow morning. I'm tired bros, I'm tired of this world. When will it finally be my turn to be on top?
>>
>>543598895
>no one wants american dollars anymore
>no one believes the US will pay their debt back
so they invest on the american economy?
i don't get it guys... eli5?
>>
>>543600564
>so they invest on the american economy?
They do NOT invest in the American economy, the American economy is therefore trying to entice people into investing by offering higher and higher investment returns.
>>
>>543598985
It means mortgage rates keep going through the roof, because the same people who invest in bonds also invest in mortgage-backed securities, so they demand higher rates. This makes the housing market slow to a crawl, which fucks contractors, people in trades, the lumber industry, Lowe's and Home Depot, etc.

Corporate bonds also now have to offer higher rates, to compete with US treasuries, so the AI build-out gets more expensive for corporations.

All investment vehicles compete with each other. If the government has to pay more money to finance its debt, everyone else does too.
>>
>>543599097
Yep, another chinese fear mongering campaign.
>>
>>543598985
>We can't borrow money anymore because nobody will lend us because we're retarded?
The US does not borrow money in the first place, no matter what they are telling you.

https://www.youtube.com/watch?v=pex89N9Oqog
https://www.youtube.com/watch?v=vW3J5LBVfGc
>>
>>543600339
damn maybe I should. i dont have money though
>>
File: 1695529126297998.png (8 KB, 225x224)
8 KB PNG
Im going to take 50% of my big grandma wealth to make sure to lock in the good rates guys. Then just wait 10 years and live off the interest since Im a decrepid old lady that may have 3 years left..True story guys..

Due to repeated rule breaking this thread is now locked.
>>
>>543599566
>Boomers had access to a free money glitch, they bought their homes for $70000 at 14% in the 1980s, but as rates dropped and home values increased, they could refinance every few years and pull a bunch of money out as equity while lowering their monthly payments.
I hate Jewish financial trickery so much its unreal.
>>
>>543599566
Doest this same argument hold if the debt was 20T, 10T, 5T? Maybe there's something your missing?
>>
>>543602193
The point is that there's debt and increasing yields, which induce inflation in order for yields to be serviced and make investors stay passive. It's not one thing, it's a combination of present and future prospects. The trade wars and diplomatic chimpouts compound this.
>>
>>543598985
>What's this mean
It's over
>>
As soon as Trump's trade wars started the dollar as the reserve currency didn't make sense. Why ok earth hold the currency of a country that's no longer not only open to trade but clearly willing to make large interventions (that could include capital controls, selective default...).

tl:tr the good word and creditworthiness of the US is not synonymous with the word and creditworthiness of Donald J. Trump. Ogre.
>>
>>543598895
- It could be a blow-off top
- the DXY is still in the top of its channel, ~101
Certainly worrying though
>>
>>543598895
People are starting to get their cash liquid to buy into the Anthropic IPO
>>
>>543602559
Just so everyone understands, all of the "debt" is denominated in what? US dollars. Who makes US dollars? Right.

And further, when the Federal Reserve was first created it could buy Treasury debt directly from the Treasury. This was stopped in the Banking Act of 1935, wherein the central bank was prohibited from buying government debt on the primary market.

Now, since the Federal Reserve is legally obligated to turn over all of its profit to the Treasury, you can quickly come to the understanding that the yield rate for Treasury debt means absolutely nothing to the Federal Reserve, ergo it could buy government debt at 0% interest forever but for a self-imposed restriction in an Act of Congress.

https://www.youtube.com/watch?v=8FKVqXMI_Wg
>>
>>543602732
Why would anyone want to do business with a nation that is openly racist and would turn against you at any time?
>>
>>543602932
Pension funds, insurance companies have policy-driven demand.
>>
>>543602789
So?

You're saying we should just print money to buy our own debt?
>>
>>543598895
Wrong.
They sell the bonds to get dollars.
So yes they want dollars.
>>
If your GDP growth is 2% and the interest you owe on trilly's of dilly's is skyrocketing to 6% this means you're winning right? Printing more dilly's is winning right? MIGA!!
>>
>>543598985
It means we won, and you lost, tranny.
>>
>>543602789
surely that would have no negative consequence
>>
>>543598985
It will be harder for you (i.e. the USA) to pay the interest on your debt, because you are now borrowing money at a higher interest rate.

Prrinting money can reduce the value of the dollar, which in turn makes investors (like people who buy bonds) wary. If investors suspect inflation is likely (via a loose monetary supply), they can in fact demand even higher rates to compensate for that expected inflation. Thus printing money is not an immediately attractive option.
>>
>>543603615
Yes. Why should the government be paying money to "borrow" a currency it can't operationally borrow in the first place?
>>
>>543603822
Bankers would lose their UBI.
>>
>>543604000
you should look into this beyond the surface level because you sound like a total babby
>>
>>543603729
Who’s going to fuck my bussy?
>>
>>543598985
It means the American government is offering to pay more and more interest to whoever is willing to buy some of your 39 trillion in debt because nobody is buying them because they are worried you can't pay back. Which means you can't print more money or you get inflation.
>>
>>543604131
Why don't you refute what I'm saying instead?

Why don't you explain to everyone in this thread why the government is paying money to "borrow" a currency that it issues? The only thing a government will accept for the bonds that it issues is its own currency. You have to have currency or bank reserves to buy Treasury securities. Therefore, logically, currency and bank reserves must exist prior to and independent of bond issuance. Otherwise, how would you have the thing you use to buy a bond if it doesn't exist until the bond is bought?
>you don't understand! it's super complicated!
it's really not.
>>
>>543604131
I like it when lolberts try to talk about economics. It's cute.
>>
>>543598895
>sinxe 2001
Yes America and the dollar famously collapsed in 2001
>>
>>543604283
No one is worried that the US can't pay it back. The US (and Canada, Australia, China, Japan, South Korea, Russia, etc, etc.) can always afford anything priced in its own currency.

If they don't want to buy US debt, it means they don't want to hold or save in US dollars.
>>
>>543604322
banks make money on spreads, so even low rates still work for them. Printing a bunch of money is inflationary, so your response highlighting the impact to bankers while ignoring the obvious (and repeatedly proven) impact of monetary inflation is an obvious admission of ignorance on the topic. You shouldn't need refutation when you yourself have refused to consider or research the most basic aspects of the topic you're attempting to discuss.
>>
>>543598985
>>543599209
US prints money, ties a bond / debt to it and then sells it out on the market. Someone (you, me, banks, foreign countries) buys a bond with the promise from the US to get a certain % interest rate return over X amount of years. So 5% every year for 10 years on a bond for example.

Whats important is what DETERMINES the interest rate. A higher interest rate means you make more money off the bond but the US has to pay more money to service that bond. The US REALLY wants the interest rate to be low for this reason. But it's the free market that decides. Bonds are a risk asset so the interest rate is determined by the amount of percieved risk in buying into a bond and losing money. The more risk, the more bond buyers can demand in interest rates.

Miggers are deeply unpopular all over the world and it has made bond buyers extremely anxious about buying bonds, so they demand a higher interest rate or they won't buy. The US doesn't get to not sell bonds because without bonds the US infinite money exploit doesn't work anymore.
>>
>>543604473
there's not necessarily a new dollar issued if a bond is sold m7
>>
>>543604473
>deeply unpopular
>so the bond rate rises
You are such a pathetic fucking retard it defies belief
>>
>>543604444
>banks make money on spreads
That is not a logical explanation for why the government is paying money to "borrow" the currency it issues. That's you just telling me that banks make money. Why would I care about that? Why would anyone care about that? Are they owed money? You're just asserting things and assuming from own internal biases that you are offering legitimate explanations for things. You're not.
>Printing a bunch of money is inflationary
The government HAS to spend money into existence for everyone else to have it. This is just ironclad accounting logic. By your logic, any money at all is inflationary. Are you assuming a static amount of goods and services? Why on earth would you do that?
>>
>>543598895
>elect retarded orange pedophile (twice)
>start trade war with china (twice), lose (twice)
>start war against Iran despite knowing bombing schools and hospital (the kosher way) won't do shit other than reinforce the regime there and you don't have the political capital to get boots on the grounds (they would be massacred anyway), LOSE
>empire goes to shit, america becomes brazil
Yeah that's how it works, you should have read those history books mutties
>>
>>543598985
The collapse of the american system. Its not just the money value. People dont want to come here and work here. There might be no advantage to joining the USA with a dictator. When they are rationing citizenship like a resource but there is no benefit to being here or using the government including the money. It seems its going that way. Its a fundamental lack of trust. There are morons in control of everything, the big bureaucracy that has become a burden. Why bother with it?
They used our tax dollars to kill white citizens. Idk what the point is.
>>
>>543604655
And its not just the dictator. Its the elected who back him; because they let corporations take control and siphon off us
>>
>>543604473
>Whats important is what DETERMINES the interest rate. A higher interest rate means you make more money off the bond but the US has to pay more money to service that bond. The US REALLY wants the interest rate to be low for this reason. But it's the free market that decides.
The Treasury, like the Fed, is a monopoly operation. The Treasury sets the yield just like the Fed sets the overnight interest rate. There is zero market mechanism happening here.

This is an artifact of the Banking Act of 1935 where the Fed was prohibited from buying Treasury debt directly -- therefore the Treasury is legally/legislatively barred from "overdrafting" its General Account at the Fed. That is the only reason it is selling bonds to begin with. And the banks have no choice in the matter -- they have to buy them.

https://www.youtube.com/watch?v=u0e4afZElBE
>>
>>543604606
>That's you just telling me that banks make money. Why would I care about that?
because you just suggested that it is the only (or at the very least primary) thing impacted negatively by printing money. you brought it up, retard. The government is borrowing money that it printed previously, that belongs to another party. You're either advocating for seizing that money or increasing the monetary base. It's actually not terribly complicated, but you're just a dumbass that you have dramatically oversimplified it.

>By your logic, any money at all is inflationary.
no, that's not the consequence of my logic. The consequence of my logic is that a change in the amount of money relative to the volume of goods & services changes the buying power of existing money. It's about a change from the current status.


>Are you assuming a static amount of goods and services? Why on earth would you do that?
I didn't and you'd have to be a confused retard to conclude that I had assumed that. What a bizarre thing for you to get confused by
>>
>>543598985
There are Jewish Primary dealers to print money and buy up the money when the bonds go up for sale they're called 12 primary dealers and they have access to infinite money, they are required by law to bit at the very least 63 cents on the dollar.

John Law from Ireland created US Money
How the 24 primary dealers bid on bonds to prevent USD hyperinflation
The Speed of the hyperinflation creates at net-torque which out-of-network currency creators can use to create free buying power from thin air, just by counterfeiting and then holding US dollars, locking them into a international party to the Crime.

Wait for it, and he goes into detail on who these bidders of last resort are for these zero value Jewish MLM ponzis and what happens if they don't want to buy the tranches, CDS's, Swaps, Treasuryies, or Bonds.
https://www.youtube.com/watch?v=jUXJfOV9h7U

Basically it's this, but huge and backed by an army of boot lickers that will beat you if you don't play ball.
https://www.youtube.com/watch?v=9GNfRBn4-5c
>>
>>543604756
>There is zero market mechanism happening here.
lmao. someone still has to buy treasuries.
>>
>>543604508
Yes but that was just a simplified explanation for the less savvy. It wasn't for your or my benefit

>>543604595
seethe more migger retard

>>543604756
>The Treasury, like the Fed, is a monopoly operation. The Treasury sets the yield just like the Fed sets the overnight interest rate. There is zero market mechanism happening here.
You have literally zero understanding of how bond interest rates are determined then. Educate yourself fool
>>
>>543598895
does that mean the browns are kikes are leaving?
>>
>>543598895
Weimar problems need Weimar solutions
>>
>>543604838
>they are required by law to bit at the very least 63 cents on the dollar.
Once more for the people in the back.
>>
Reading all the posts here, and only one idea seems to stick to my head. Correct me if I'm wrong, but basically, to protect my assets or "self value", I should just start swapping my USD to...?
BTC? Buy physical gold? Silver?
Cause from what most anons here are implying, USD is about to be kill in the next decade or less.
>>
File: download.jpg (175 KB, 1200x1189)
175 KB JPG
>since 2001
>Republiniggers
>>
>>543605148
Economy illiterate lolberts are always melodramatic. But yes, what you mentioned are all good things to buy.
Just hodl it.
>>
> nobody wants dollars
So that's why the dollar is getting stronger and rates are going UP? If you're going to try to explain a complex situation, you're going to need more than 1/2 a sentence.
>>
File: 1784916466193806.jpg (758 KB, 960x960)
758 KB JPG
Got what I voted for again, libtards are OWNED and you lost trannies!
>>
>>543604756
I watched the vid just to humor you anon. What he is saying isn't wrong but it only tells a fraction of the whole story. Yes the US in that scenario could just force banks to buy / accept a 0.25% interest rate. The US itself could just be the buyer of last resort even. The problem is hyperinflation happens. America becomes Venezuela all over again. The only way out is the country collapses or we abandon the USD for something else like the Euro which isn't hyperinflated. In the meantime nobody will want to do business with us except in cash because we'd be seen as untrustworthy.
>>
>>543605312
>The problem is hyperinflation happens.
How could excess reserves be inflationary? They literally can't leave the banking system. How would the Fed buying Treasury debt at 0% interest be more inflationary than selling that same principle at 3, 4, 8%?

https://www.youtube.com/watch?v=CmBO4vHt6GE
https://www.youtube.com/watch?v=mvLmFaPvUL0
>>
>>543605511
>why would more money in circulation be inflationary
this dude is absolutely incredible
>>
>>543605551
Do you not understand what bank reserves are? They CAN'T circulate.
>>
>>543605148
Gold goes down when interest rates go up. Same deal with silver basically. Bitcoin is gambling. We are not in a hyperinflation situation yet. Even high 3rd party indices peg inflation closer to ~6%

>>543605628
No interest rate means more money supply anon
>>
>>543605628
If the fed buys bonds, that necessarily puts cash into the system buddy. Doing that at 0% would have exteme impacts on government issuance behavior moving foward, along with distortions across all other capital markets (including corporate/state/municipal debt). All of which would be inflationary.
>>
>>543598895
Good the world needs to sweep jewsa under the carpet for good
>>
File: 1770509361421733m.jpg (148 KB, 754x1024)
148 KB JPG
Anybody that is tired of having dollars can give them to me. Just saying.
>>
>>543605763
>No interest rate means more money supply anon
That doesn't make any sense. There is a principle that is created by government spending to a deficit. That principle exists solely by virtue of the government having spent it into existence. At 0% that principle remains as it is. With interest attached, it is the principle plus the interest. I feel like I'm taking crazy pills talking to you.

Like it seems very obvious to me that (money) is less than (money + interest).
>>
>>543605895
>That principle exists solely by virtue of the government having spent it into existence
found the issue with your understanding here.
>>
File: IMG_5447.jpg (1.42 MB, 1960x3814)
1.42 MB JPG
>lol
>>
>>543602193
not really. Keep in mind that the US only generates so much real revenue each year. The differentiator here is that the debt will very soon be so high that the US's ENTIRE REVENUE, is less than that of a SINGLE interest payment
that's literal insolvency, that's the point we're reaching
>>
>>543598985
It's gonna cost 100 dollars to buy a loaf of bread
>>
cheetos nigger finally killed the US empire. good thing he only cares about iran getting nukes. israel will get their war resumption at least. nobody cares about the goyim back in the USA.
>>
>>543598895
They have abandoned their biggest bod customers in the middle east and left them at the mercy of the Zionist Jews and the Iranians. The petrodollar is dead.
>>
>>543606062
>The differentiator here is that the debt will very soon be so high that the US's ENTIRE REVENUE, is less than that of a SINGLE interest payment
lol we're not even close to that, but we are somewhat close to a number of negative consequences that will follow as we march higher.
>>
>>543605779
>If the fed buys bonds, that necessarily puts cash into the system buddy.
Yes, the government has to spend money into existence for it to exist in the private sector. It is how we, the private sector, ultimately generate a surplus. When the Fed sells bonds, it is draining reserves from the system.

What I am trying to explain is that this process, known as open market operations, is only being done to manage an overnight interest rate. And because the Fed is legally barred from buying debt on the primary market. Leaving reserves in the banking system doesn't add any money to the to the general money supply because banks can only use the reserves in their reserve accounts to buy Treasury securities. They can't go shopping at Walmart with them.

If they pile up in the banking system, it would drive the overnight interest rate down. Japan had ZIRP for like ~25 years with budget deficits far larger (~260%) than the US and couldn't inflate the yen for shit.
>>
>>543606194
>the government has to spend money into existence for it to exist in the private sector.
if you're using the fed and government interchangeably, then famously this is incorrect for FOMC activity. I can tell you're asking AI questions as you go.
>>
>>543606307
When private banks create money -- and they do create most of the deposits as loans -- from where do they derive this ability?

They get it from their government charter. They need express and explicit government sanction to fulfill this function. When you withdraw physical cash from your private bank, do they give you Bank of America bucks or Provident pennies? No. They give you US dollars signed by the Treasury secretary.

The money is coming from the government.
>>
>>543599566
"we" won't have to do shit stinky nigger

fuck your jewish economics. we are discharging your fake debt.
>>
>>543606194
>couldn't inflate the yen for shit.
besides that part where 90% of japanese are poor, overworked and fading out of existence
>>
>>543606467
right but that doesn't mean they are "spending" it. specific words are important here.
>>
>>543606588
At origin, the government is the issuer of the currency. So ultimately that is where the first dollars had to come from.
>>
>>543606078
Exactly as foretold in the Bible during the end times.

Revelation 6
6 And I heard a voice in the midst of the four beasts say, A measure of wheat for a penny, and three measures of barley for a penny; and see thou hurt not the oil and the wine.
>>
>>543606699
by the open market operations that you referenced, money can enter and exit circulation independent of actual spending.
>>
What would happen if, suspending disbelief, there were no bidders on the bonds and the primary dealers are instructed not to be the bond buyer of last resort?
Answer: Well then I guess nobody buys the Goverment's debt, and the Government has to pay the interest on it instead of offloading that yoke and burden to Shabis Goyim.
https://www.youtube.com/watch?v=jUXJfOV9h7U&t=485

Why do the biologicals not partake in the burden of service toward mutually wanted evolution?
>>
>>543606750
Open market operations weren't a regular fixture until 1935. We've had dollars a lot longer than that. And we had colonial scrip even earlier (which probably makes my point even better).
>>
>>543606789
It's already been explained in the thread: the reserves would just stay in the banking system. Bond sales aren't a borrowing operation; it's a mechanism to manage the federal funds rate (overnight interest rate). They would just sit in the primary dealer's reserve accounts at the fed earning 3.9% interest on reserve balances so at some point in the future the primary dealers could buy treasury securities with the reserves (since they aren't allowed to use them for anything else).
>>
File: 4363467.jpg (37 KB, 820x713)
37 KB JPG
>>543598985
>mass layoffs
>inflation
>higher prices
>you voted for this
to all the incel neet american retards who thought they were edgie for voting for trump your lives are about to be destroyed (further).

Remember it can always get worst.
>>
>>543606828
yeah no shit but we're talking about how things work today. remember when you said it wouldn't matter if the fed was buying bonds at 0%?
>>
>>543598985
It means Israel will lose money so the rest of us have to be sad :(
>>
>>543606998
>remember when you said it wouldn't matter if the fed was buying bonds at 0%?
It wouldn't.
>>
>>543607124
lmao
>>
>>543606546
>>543606194
and the fact where we forced the Japanese to be unable to do fucking anything for their own economy and also forced the yen to be literally un-inflatable due to us making them genuine debt slaves in the Plaza Accord and the Yen carry trade

legit what we did to Japan and its economy should be seen as an act of national economic sabotage. It's so fucked up.
>>
>>543607196
If the federal government wants to build a highway, why does it need to pay interest to a bank? It already has dollars; it can't not have dollars. The bank doesn't have any of the real resources involved in physically constructing the road. We just pretend that they are a necessary part of this process for some reason.
>>
>>543607314
the reason is so that congress can't unilaterally cause hyperinflation
>>
>>543607526
Hyperinflation is extremely difficult to cause. It requires a massive collapse in real productive capacity.
>>
>>543607694
>Hyperinflation is extremely difficult to cause. It requires a massive collapse in real productive capacity.
are you fucking out of your mind?
>>
>>543607694
it's about more than simple hyperinflation avoidance, but the idea was specifically to remove politicians from direct control of the money supply. based on congress performance over the past 25 years, what makes you think they could possibly manage the money supply safely? also, bondholders are a more diverse cohort than banks.
>>
>>543598895
You lost, tranny
>>
>>543607794
Can you point to an example of hyperinflation that did not have an accompanying collapse in productive capacity?

Zimbabwe had the land reform where they appropriated White-owned farms and saw a 60% crash in agricultural output.

Venezuela, maybe slightly different situation. They saw a big dip in commodity prices when the US shale boom got underway and sanctions (and competence) restricted their ability to properly maintain their oil infrastructure. They also were bizarrely a net food importer despite being a large South American country, so that's a clear production issue.

Germany, Austria-Hungary. I think that's pretty self-evident. They were literally destroyed in wars and owed large debts in currencies/gold that they did not have the power to issue.

Argentina is maybe one that doesn't quite fit, but they take out loans in currencies they don't issue. So they are not monetarily sovereign in that respect. They also aren't competitive with Brazilian firms in value added industries.
>>
>>543607916
>but the idea was specifically to remove politicians from direct control of the money supply.
Yeah, I don't think that was actually the idea. When you look at what happened before -- the Fed can buy short term treasury debt directly -- and what happened after -- the Treasury has to auction debt -- it's pretty clear the point is to get a cut of the action. You're not this naive, are you?
>>
>>543608216
>You're not this naive, are you?
bold tactic for someone who clearly learned so much about the Fed in the past 60 minutes from me and chatgpt
>>
>>543608120
>Can you point to an example of hyperinflation that did not have an accompanying collapse in productive capacity?
You suggested earlier that productivity collapse happens before hyperinflation. But it is when businesses can no longer afford to try and make money that they stop employing people and productivty collapse happens
>>
>>543599209
>in 10 years government will have to pay bond holders
*US taxpayers have to pay it
>>
>>543608320
Zimbabwe's White farmers were removed from their farms and then the agricultural product collapsed. It wasn't a money thing. They were replaced with government loyalists who mostly did not know what they were doing and could not match the productive output of experienced generational farmers.

They never ran out of money in Zimbabwe. They ran out of stuff.
>>
>>543608483
So what? You're comparing apples to oranges. What does Zimbabwe's unique political problems matter to the US's massive debt problem?
>>
>>543608611
The US doesn't actually have a debt problem. Not in the way you think.

https://www.youtube.com/watch?v=F9zEEsgjxto
>>
>>543604817
Jew
>>
>>543608797
>the debt problem isn't a default problem its a hyperinflation problem
incredible anon that's what the other anon and I have been trying to say this whole time
>>
>>543608922
>da joooz akshually hate inflation guize
you have to be 18 to post here
>>
>>543609036
Jews and their collaborators like imposing artificial constraints and precarity onto Western civilization to discipline prices and degrade goyim.
>>
>2001
I can't wait to see if it's another 9/11 or another dot com bubble bursting that gets America out of this one.
The AIussy is looking swollen and thoroughly pumped to the breaking point. ...or should that be SIussy? And there are high ranking Israelis unconscious in a puddle of their own sweat and cum at the thought of a false flag justifying American boots on the ground in Iran.
>>
>>543609186
>admitting you samefagged with some limp dick insult on a different device
lel
>>
>>543598895
Gotta bump those numbers up
>>
>>543609186
you sound like someone with no foreskin and multiple trump votes. no wonder you're a fucking moron lmao
>>
File: 1776283819850e.png (33 KB, 1025x1025)
33 KB PNG
BUY OUR FUCKING BONDS YOU STUPID CHUDS, WE CAN DO THIS THE EASY WAY OR THE HARD WAY!
>>
>>543598895
So I should invest $100,000 into bonds for 10 years to get ~ $155,000?
>>
>>543609584
Yes, but the jews will have printed an additional $51235534285732532525378 by then, so your money will not be that useful.
>>
>>543609501
Donald "I want to keep house prices high" Trump? That guy?
>>
File: 1767100977644704.jpg (629 KB, 750x1018)
629 KB JPG
Friendly reminder that your real income/wealth is exactly equivalent to how many physical objects with value you own and can retain ownership over and everything else is literally fake and worthless. You need to be converting your monthly salary or income into real money ASAP with every payslip, or you are being raped and robbed by jews.
>>
>>543609888
wrong, wealth is the ability of applying violence to take what you want and protect it against others that might do the same, especially when the failing system lacks the ability to pay its mercenaries to keep its monopoly on violence
>>
>>543609990
Sure, I would include that in the definition of "physical objects with value."

Of course, skills and knowledge are equally or more important but that's not usually something you get paid in.
>>
>>543605763
>Gold goes down when interest rates go up.
the 1970s is calling
>>
>>543610094
The range of objects that can be used to force another individual to render the object of your desire is sheer infinite, and can be practically free. More important is the mindset, something the slave "humans" that are still stuck in the late 20th century western thinking completely lack
>>
>>543610227
>The range of objects that can be used to force another individual to render the object of your desire is sheer infinite
Not infinite because I don't see jewish toilet paper or numbers on a computer being useful for it whatsoever.
>>
>>543602789
You parrot a lie.

They get to keep 6% as a "fee" but return all "profit" beyond that "fee."

That's a trillion dollars a year of our taxes you big fucking homo kike
>>
>>543610346
sheer infinite. Having some experience with street mugging boomers, voice and appearance are often enough
>>
>>543610459
>admitting to crimes on 4chan
Wow, you sound super intelligent.
>>
>>543610576
go on file a report; i am soooo afraid
>>
>>543598985
Jewish financial nonsense should be ignored

>we won’t buy you bonds

Only and we can kill you whenever we feel like
>>
>>543600895
>7.24% mortgage rate
>fear monger
That's exactly right. Watching the econony slow down entirely is really normal and needs a psyop because obviously nobody thinks that it's bad without one. When nobody can afford to move or refinance it's really quite normal, so obviously China needs to use every facet of it's online propaganda machine to make people think it's le bad. Thanks, smartest anon! The only positive is at least people there have 25 year term so while they cant afford to move they at least dont have to refinance or transfer into these higher rates like most covid time financed mortgages here.
>>
>>543606944
Nigger the reserve ratio is zero, those "reserves" are instantly put into securities, investments, or loaned out for profit. Reading your posts in this thread is like hearing a 14 year old telling you why communism is great and totally works.
>>
>>543598985
>What's this mean?
Burgerman,.... Everytime the usa, your.. I mean it's not even a country, it's a company, runs out of money, it starts wars to get its mic and weaponry economic running. It's not like it is since 9/11. It is since ever. Research it yourself. Everytime the us runs out of money they start a war, and ONLY then. All you need to know is not than a thread can handle. But your country is fucked for now a few years in a row (remembering fed and gov people won't get payed? It's called shutdown) a war fills the wallets after every shutdown. Was. Is. Do with thst what you want.
>>
>>543610387
Right, and we can debate if that fee is extortionate or not in line with actual expenses. But again, it's based on what they earn from bonds they hold and the Fed can only buy bonds after they have already been purchased at auction by an entity that is not the Fed.
>>
>>543598895
Trumps next plan is to make it only possible to buy burgers in dollars.
>>
>>543604412
I'll just assume since I don't have the numbers in front of me but your national debt is roughly 40 trillion which is likely more than double what it was in 01. Your ability to even pay interest on that debt has been brought up and questioned. I think that's the key difference now. I say this with confidence without needing to see the spread.
>>
>>543598895
I sold my entire portfolio of VOO & VXUS.
I feel the market will crash and stay stagnant for decades. I can’t afford to not sell while I’m at slight profits. Mind you I’ve been investing for almost a decade. Anyways, good luck to everyone.
>>
>>543598985
It means the US is sweetening the pot. Nobody (foreign governments) wants to buy bonds at the normal 2-3%. It's too risky to invest with rates that low. Essentially it's an auction. Nobody bought at 3%, or 4%, and now people are buying at 5%+. It's more than that of course, but that's my understanding
>>
>>543605148
>Are assets good when currency is being debased
How is this even a question you need an answer to.
>>
>>543598895
>No one wants American Dollars
They sure as fuck do. The extremely wealthy might want to move out of holding any currency, but that don't mean people don't want US Freedum Bucks. When people stop showing up for work, that will be a big indicator.
>>
>>543605148
Currencies are difficult. Your plays depend on what you expect. I am holding various equities in energy for example. They are boring but they will probably all be worth a decent amount no matter the time. Decent amount is relative to everything else of course. So if tech, for example, collapses, some of my picks will also decline, but not as badly. Some companies will be overexposed to tech equities, so this situation would cause them more pain. This pain might tank their value more. But if they are a good company or one that has connections...anyway, if they are a company I expect to be around in a similar position or higher in 10 years, then I will buy them on discount.
These are simple examples/ideas to get you thinking.
>>
File: uncle sampson.jpg (297 KB, 832x1248)
297 KB JPG
You all act like Israel is the only one that wants to end the world.
>>
>>543611629
it largely depends on the asset and if it is productive. BTC and crap like boomer rocks that are in no way productive, or shares of ponzi companies whose primary business model is share rebuys and expanding their credit and issue corporate bonds (which is practically every company publicly traded), those die together with the currency in such a scenario
>>
>>543611037
Liar. QE is explicitly the fed buying the bonds outright and I don't doubt there are lesser known mechanisms by which they do the same thing.
>>
>>543611994
you mean like yield curve control? Like Bessents failure from 2 weeks ago?
>>
>>543599068
It's not the own you think it is because a 5% yield on 40 trillion is fucking orders of magnitude different to the 2 trillion at 15% in the 80s
>>
There has been so many people saying the US empire is over. I don't think it is going anywhere and I believe Christian Parenti agrees with this analysis.
>>
>>543598895
>No one wants American Dollars anymore
I'll take some if that's the case
>>
>>543598895
Should I sell?
>>
>>543598895
this is bad, this means somehow euros are going to pay for this.
>>
>>543598895
>hyperbolic
not even exponential
also. zoom out. disingenuous homosexual
>>
>>543598895
I wonder how bad the inflation is going to get if they struggle to sell bonds at 5%
>>
>pyramid scheme number go up
Interesting.
>>
>>543614047
This is the end of the empire
>>
>>543598895
>Diesel's going back down?
>QUICK! Switch to fearmongering about this other thing that doesn't fucking matter!
>>
>>543598895
>No one wants American Dollars anymore
Then why does everyone literally want American dollars?
OP is a moron
>>
What number comes after trillion because our kids are probably going to live under that level of debt



[Advertise on 4chan]

Delete Post: [File Only] Style:
[Disable Mobile View / Use Desktop Site]

[Enable Mobile View / Use Mobile Site]

All trademarks and copyrights on this page are owned by their respective parties. Images uploaded are the responsibility of the Poster. Comments are owned by the Poster.