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Bonds have no chance


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#1 nimblebear

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Posted 22 July 2013 - 10:48 PM

along with all the boomers holding them in their retirement funds. This is simple simple, dirt simple math. Bonds have had a 40 year run, give or take. The Fed is buying up 90% of all new debt issued by the gov. The Fed is buying 54% of all bond purchases including rollovers. Foreignors have slowed down massively, which is why the Fed has had to cover their lack. As interest rates surely spike, because debt issuance has gone exponential, and is parabolic, JUST to barely maintain an ounce of GDP flatness (maybe +/ - a percent), foreignors will become net sellers, not net buyers, and then the Fed is REALLY in a hunk of doo-doo, along with the vast majority of Americans. Then you see hyperinflation emerge. In all its 'glory.' The event and probability that everyone says and believes could never happen to a reserve currency. :rolleyes: And bye bye stock market too. :bye: (with interest rates at these absurdly, insanely low levels for SUCH A LONG TIME, stocks are priced BEYOND PERFECTION.) Dirt. Simple. Math. :yes:
OTIS.

#2 dasein

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Posted 23 July 2013 - 02:26 PM

foreigners. dirt simple. spelling.
best,
klh