Posted on 11/11/2023 7:55:20 AM PST by Kaiser8408a
Damn it, Janet (Yellen)! Moody’s just cut the US credit to NEGATIVE.
The primary reason for Moody’s downgrade of US credit? The absolutely insane ramp-up of Federal spending starting with the Covid outbreak in early 2020. And the subsequent economic shutdowns and the closure of public schools. But even as Covid faded to diminished status, Bidem demanded an increase in Federal spending. Well, Biden’s war (Ukraine) which looks like spending in perpetutity.
Of course, Biden/Congress love to spend money, but raising personal taxes to pay for it is political suicide. A private sector firm would cut spending to balance its budget, government simply doubles down on spending. Never let a crisis go to waste!
And The Federal deficit keeps on growing under Biden/Yellen’s economic reign of error.
After a disastrous 30Y bond auction this week, a collapse in Treasury market liquidity, and an accelerating rise in the market’s perception of the United States’ credit risk, Moody’s has just cut its outlook on US credit ratings to negative from stable.
(Excerpt) Read more at confoundedinterest.net ...
Imagine a united Congress that doubled or tripled the national debt every year. We could get rid of that “disunity” problem.
;-)
They aren’t even doing their job which is passing a budget. They keep putting up useless bills that go nowhere and rightfully so. Do your dang ONE job.
******************
They can’t do their jobs because they are stupid, incompetent, and bought off.
“So why isn’t gold on the rise?”
Interest rates make it expensive to hold gold.
So true.
Based on the results of this week's 30-year T-Bond auction, they're not taking much.
Finally.
It took a Rocky Horror reference for there to be somethin I understand in a Confounded Interest headline. 🤣🤣
Because gold is not a fixed commodity. More gold is continually mined and sold. When the supply increases faster than demand the price goes down. When supply increases slower than demand the price goes up.
Also, it is worth noting that two of the three biggest gold producing countries in the world are China and Russia. Together they produce over 20% of the world’s supply.
“the recent 30 year treasury auction that posted a “stunning” 5.3 bps tail and a bid to cover that some are portraying as the harbinger of the death for the USD”
But it rallied yesterday. ???
Just an excuse to raise taxes instead of cutting government spending,
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.