981–990 of 1001 posts
"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.
>something flipped. China dumped 500B in treasuries and the basis trade blew up is what happened Tariff deals were still going to happen regardless. The pause is a stop gap for the basis trade (20+x levered), of which an uncontrolled unwinding threatens the entire financial system. Fed already had a bailout facility ready as a plan B. Too big to fail and all that
It's okay, the Fed has been insolvent at least two years now https://thehill.com/opinion/finance/3955889-the-fed-is-bankr...
One thing that makes me curious. Pennsylvania unemployment rate is 3,4%. In the EU you commonly see unemployment rates around 10% and that is even after rather massive reeducation programs. Why is this seen as such a big problem that these 3,4% pretty much get to decide the entire US policy? In the EU that would be a great number and mostly normal considering that people that switch jobs or just finished studying or…
How many people are employed but are in a job that barely provides enough money to survive? How many people are working 2 or even 3 jobs just to barely survive? Those people would be counted as 'employed'. You should look at these other groups of people before making judgement.
One thing that makes me curious. Pennsylvania unemployment rate is 3,4%. In the EU you commonly see unemployment rates around 10% and that is even after rather massive reeducation programs. Why is this seen as such a big problem that these 3,4% pretty much get to decide the entire US policy? In the EU that would be a great number and mostly normal considering that people that switch jobs or just finished studying or…
You sure its just the 3.4%? 5% is considered 'full employment' so 3.4 should be some of the best times in history. How many people are employed but are in a job that barely provides enough money to survive? How many people are working 2 or even 3 jobs just to barely survive? Those people would be counted as 'employed'. You should look at these other groups of people before making judgement.
But all I hear is "we want factory work back to Pennsylvania".
If the jobs pay too low, why would you want even more low paying jobs back to USA, sewing t-shirts, making sneakers, working in a factory?
And - specifically - why do the people that want that get so much influence?
One thing that makes me curious. Pennsylvania unemployment rate is 3,4%. In the EU you commonly see unemployment rates around 10% and that is even after rather massive reeducation programs. Why is this seen as such a big problem that these 3,4% pretty much get to decide the entire US policy? In the EU that would be a great number and mostly normal considering that people that switch jobs or just finished studying or…
You sure its just the 3.4%? 5% is considered 'full employment' so 3.4 should be some of the best times in history. How many people are employed but are in a job that barely provides enough money to survive? How many people are working 2 or even 3 jobs just to barely survive? Those people would be counted as 'employed'. You should look at these other groups of people before making judgement.
Earlier quoted context omitted.
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…
I think that is true, strictly speaking. 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.
"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…
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…
Boomers really fucked on the economy to Sunday didn’t they?