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CNN website hacked: "China dumps all bonds"

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Re: CNN website hacked: "China dumps all bonds"

#71

Post by cokernel »

eliasmacpherson wrote: post #53
rtpg wrote: post #51

Earlier quoted context omitted.

All places where the US deploys drones has the support of the host nation's gov't at least. Drones are extremely easy to shoot down currently, and would not be effective in any hostile environment. Not sure if that's what you meant, but it's an interesting point to consider.

So the governments of Somalia, Afghanistan, Pakistan, Iraq, Yemen and Libya all support US drones being deployed. Where would I go to verify this? Seems a reconnaissance drone was downed over Iran, who have demanded an apology[0]. Perhaps you only mean drones capable of attack. [0] https://en.wikipedia.org/wiki/Iran%E2%80%93U.S._RQ-170_incid...

Here's one place to start for Pakistan: http://tribune.com.pk/story/84402/wikileaks-gilani-open-to-d...

As you point out, this is for drones capable of attack, not reconnaissance drones.

Re: CNN website hacked: "China dumps all bonds"

#72

Post by dsl »

jzwinck wrote: post #29
streetnigga wrote: post #20

There is a special place in hell for SEA (Syrian Electronic Army) members. In addition to hacking sites as to spew propaganda, they have been reporting nonviolent activist pages while promoting terrorist (ISIS) pages. Running a plethora of personas[0] that harass and attack while disseminating horse-shit like the Adra massacre. That Adra event saw Russia Times relaying false reports[1]. Of course phishing pretty much…

I figured out that you meant Syrian Electronic Army, but SEA is widely understood to mean South East Asia in the region in question.

or Seattle, those guys are outta control.

Re: CNN website hacked: "China dumps all bonds"

#73

Post by jcalvinowens »

wintersFright wrote: post #27
bsaul wrote: post #23

Earlier quoted context omitted.

But china isn't the only one to use usd. Them saying "i don't give usd any value" doesn't means it's going to be true. At the minimum, USA will still use that currency no matter what, along with every US companies. And since The US haven't defaulted yet on their debt, US bonds will still have at least some justifiable value.

If China dumped bonds, why would anyone buy debt from the USG when they can get it cheap on the open market that has just had 1 trillion dumped in it. The fed steps in, mops up all excess demand so Uncle Sam can keep on spending beyond its tax revenue. Very quickly, no one is going to accept USD in trade as the value plummets. The USD being world reserve currency has been printed far beyond the needs for internal dom…

> If China dumped bonds, why would anyone buy debt from the USG when they can get it cheap on the open market that has just had 1 trillion dumped in it.

The member banks of the federal reserve are required to buy government debt if nobody else will.

Re: CNN website hacked: "China dumps all bonds"

#74

Post by Amezarak »

fennecfoxen wrote: post #64
bsaul wrote: post #46

Earlier quoted context omitted.

My point was exactly what your last sentence said : they are already printing so much money and it doesn't provide inflation. Your point i guess is that china has 1 trillion in USD, which is such a huge amount that emitting this on the market will create inflation. I just checked the numbers, and in 2011 the second quantitative easing (aka "printing money") was 600 billions, and the third is 40 billions every month.…

Yeah, the Fed buys crazy lots of bonds, and it's pretty impressive that it hasn't caused inflation yet. A big bond dump by China may be enough to actually trigger a substantial piece of inflation - heck, maybe you'd see an instant jump in prices of a few percent overnight, and the US would have to make some painful choices about spending and debt... But it wouldn't in and of itself cause catastrophic hyperinflation .…

It's not pretty impressive that it hasn't caused inflation. It's exactly what we would expect based on the predictions of mainstream economic theory in our current situation. Indeed, if the Fed had to print an additional $1 trillion to cover these dumped bonds I am doubtful the inflation would tick up more than half a percent at best.

The whole thing is kind of moot since China would be committing economic suicide by doing this.

Re: CNN website hacked: "China dumps all bonds"

#75

Post by koenigdavidmj »

rtpg wrote: post #52
Shivetya wrote: post #42

Earlier quoted context omitted.

Welcome to Zucker's quest to make CNN relevant.... which apparently means being the online version of the supermarket check out line. The FoxNews site has more important international stories than CNN, I am assuming CNN expecting readers to click the World tab. Out front, between Drudge and Google News I get all the leads I need.

you might want to hit something like Huff Post to counter Drudge.

Drudge serves the same purpose as Twitter. Places like those are bad at specifics but are really good at things like "shit's going down in Boston around the marathon".

They're not good at specifics, which is how an unrelated electrical fire at the JFK Library got lumped in with the bombings.

Re: CNN website hacked: "China dumps all bonds"

#76

Post by wintersFright »

Amezarak wrote: post #74
fennecfoxen wrote: post #64

Earlier quoted context omitted.

Yeah, the Fed buys crazy lots of bonds, and it's pretty impressive that it hasn't caused inflation yet. A big bond dump by China may be enough to actually trigger a substantial piece of inflation - heck, maybe you'd see an instant jump in prices of a few percent overnight, and the US would have to make some painful choices about spending and debt... But it wouldn't in and of itself cause catastrophic hyperinflation .…

It's not pretty impressive that it hasn't caused inflation. It's exactly what we would expect based on the predictions of mainstream economic theory in our current situation. Indeed, if the Fed had to print an additional $1 trillion to cover these dumped bonds I am doubtful the inflation would tick up more than half a percent at best. The whole thing is kind of moot since China would be committing economic suicide by…

Yes, the Fed will quickly buy up all the bonds necessary to feed the USGovt appetite, allowing the USGovt to outbid any citizen for goods and services. This situation does not lead to a nice and cool inflation of 2%.

Meanwhile will the rest of the world be willing to ship real goods and services in return for promises of ever more paper IOUs from the USG, and when those paper IOUs are due, the promise of even more paper IOUs?

If this all sounds sustainable, I have a deal for you. I want to borrow $100 off you and I'll pay you $105 next year. Don't worry, I'm good for it. I'm also lending myself $200 and will pay myself back $210 next year. So how about it? Clearly the 5% interest rate is what has been set by the market (me) so you are getting a good deal.

Next year comes around and I hand you some paper IOUs for $110 the next year. Meanwhile, I'll borrow another $100 off you. I've been living it large and need a bit more sugar. Don't worry, I'm good for it - I'll lend myself another $200 too!

Re: CNN website hacked: "China dumps all bonds"

#77

Post by wintersFright »

notastartup wrote: post #24

China dumps all bonds. US declares return to gold standards. Chinese economy crashes. World experiences significant economic downturn but soon recovers.

The world was fooled once by promises of US gold which Nixon defaulted on. They won't fall for that one again.

Re: CNN website hacked: "China dumps all bonds"

#78

Post by wintersFright »

not-impressed wrote: post #30
notastartup wrote: post #24

China dumps all bonds. US declares return to gold standards. Chinese economy crashes. World experiences significant economic downturn but soon recovers.

Haha are you aware of the amount of Gold china is buying? http://www.ingoldwetrust.ch/unprecedented-total-chinese-gold... If/when USD looses its position as a reserve currency, the price of gold will skyrocket and China will be looking smug.

and this http://www.shanghaidaily.com/business/China-expected-to-anno...

Re: CNN website hacked: "China dumps all bonds"

#79

Post by 1stop »

alexeisadeski3 wrote: post #31
1stop wrote: post #26

Earlier quoted context omitted.

Yes, that's how it would play out. China dumping US money, would be an actively hostile thing to do... implying they wanted to do other hostile things as well... The world would likely become a very different place, real fast.

China dumping US currency and/or bonds would be an awesome opportunity for everyone else. We could buy the wonderfully underpriced securities from China and make bank once the price pops back up a few months later. It'd basically be suicide for the seller - in this case the central bank of China.

Sorry, in this hypothetical, china would only do something so rash if it were going to war. There would be no "making bank" there would just be war... and given the scale of said hypthetical war, I'm not sure there would even be a victor...

Re: CNN website hacked: "China dumps all bonds"

#80

Post by tripzilch »

rtpg wrote: post #51
streetnigga wrote: post #37

Earlier quoted context omitted.

Pretty shitty. Can't think of a theater of operation where the consensus for deployment is done with the support of the host nation's public. That is excluding the secret laws often shrouding the justification for the programs themselves.

All places where the US deploys drones has the support of the host nation's gov't at least. Drones are extremely easy to shoot down currently, and would not be effective in any hostile environment. Not sure if that's what you meant, but it's an interesting point to consider.

> All places where the US deploys drones has the support of the host nation's gov't at least.

The GP specifically said "host nation's public".

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