821–830 of 1001 posts
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the lesson to be learned is we are all humans and should get rich together, not to lean further into tit-for-tat anti-globalization.
I do not care about turning the other cheek, I want him gone. This will not get fixed until Americans understand that fascism only leads to ruins and suffering.
"It’s the T-bills wot dun it." That’s my read on why the U.S. just paused the global tariff hike to 10%. From the beginning, I’ve believed the executive branch's real goal was to push down the yield on the 10-year Treasury. Why? Because Uncle Sam has to refinance a mountain of debt this year, and the cost of that depends heavily on Treasury yields — especially the 10-year. That’s the rate that sets the tone for every…
"It’s the T-bills wot dun it." That’s my read on why the U.S. just paused the global tariff hike to 10%. From the beginning, I’ve believed the executive branch's real goal was to push down the yield on the 10-year Treasury. Why? Because Uncle Sam has to refinance a mountain of debt this year, and the cost of that depends heavily on Treasury yields — especially the 10-year. That’s the rate that sets the tone for every…
Trump's obsession with tariffs dates back to 1988 when he lost an auction for the piano from the movie Casablanca to a Japanese buyer. Afterwards, he started complaining about how all these other countries are ripping America off, and here we are.
"It’s the T-bills wot dun it." That’s my read on why the U.S. just paused the global tariff hike to 10%. From the beginning, I’ve believed the executive branch's real goal was to push down the yield on the 10-year Treasury. Why? Because Uncle Sam has to refinance a mountain of debt this year, and the cost of that depends heavily on Treasury yields — especially the 10-year. That’s the rate that sets the tone for every…
Earlier quoted context omitted.
> Instead of being seen as a safe haven, U.S. debt itself started to look shaky There's also a more basic answer to why US debt got more expensive. There is no such thing as a "trade deficit". You cannot import something without exporting something else. That something else, in almost 100% of the situations, is dollars. What do you do with dollars, if there's nothing you want to buy? You buy debt. So, every trade def…
The real issue is people are still treating this reactionary buffoonery as if it's a trade policy that warrants critique. It isn't. Trump is a fucking idiot and he has surrounded himself with other fucking idiots and they and the reactionary base of fucking idiots they've created are cheering him on for doing fucking idiot things. A journalist successfully reverse-engineered the likely formula used to arrive at the f…
Why does the market like this? Tariffs are in place and unpredictability is now the norm. Tomorrow something new crazy will come out and then the next day and the next day. Even if US markets like this right now, the long term damage has been done. Betting on the medium-long term seems questionable at best.
Is anyone sure this is not stock manipulation? Honest question.
Possibly because lawsuits challenging the power of the President to impose tariffs under the Emergency Economic Powers Act are underway.[1] GOP support for Congress taking back control of tariffs is building.[2] At some point, Congress or the courts will take his toys away. [1] https://www.newsweek.com/trump-tariffs-hit-lawsuit-group-his... [2] https://thehill.com/homenews/senate/5236142-congress-tariff-...
I've seen relatively little discussion about these lawsuits, but I do think there is a pretty good chance that SCOTUS will rule these tariffs unconstitutional. (It's certainly more likely than Congress rescinding the powers they've ceded to the presidency.) Constitutionally, the power to set tariffs resides with the Legislative branch, not the Executive branch. Congress has delegated some authority to set tariffs und…
But how do you justify all of the other trade deals made by other presidents?
Were those also unconstitutional? Or just Trump's because they went up not down.
Earlier quoted context omitted.
The refinance is a real issue, but it doesn't matter too much cause the Fed can (and will) always intervene. They can soak up any supply to push the 10 year down. Same reason why it doesn't matter if China etc.. wants our treasuries. Fed is always there to buy them.
I'm not an economist but I believe this is only the case so long as USD is the global reserve currency. If that ceases to be the case, the Fed has a lot less power to print money and inflate debt away. I believe this is the case Ray Dalio has been making for some time now: https://www.youtube.com/watch?v=xguam0TKMw8
Being a global reserve currency only increases the extent of that printing, not the ability itself.