Final FReepathon of the Year.
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Posted on 10/17/2013 1:25:32 AM PDT by joinedafterattack
Gold's spiking $38 in Asia as the market opens . Looks like Asia realizes the USA just kicked the can down the road and the treasuries they hold are worth less.
Will someone please explain to me how raising the debt limit over and over and over again isn’t defaulting on the debt?
Count on it...
It should be just the opposite. Raising the debt ceiling just extends the Ponzi scheme so that current bondholders will get interest payments and future bond buyers will be left holding the bag. Had we not passed the debt ceiling limit increase, current bondholders would have been the ones holding worthless paper.
But the Ponzi scheme can’t continue forever, and we are already well past the tipping point. It’s just a matter of when we run out of suckers. Oh yeah, we found the Fed, so we may never run out...
Consider suppy side. More Treasury sales to Fed banks to support the debt and QE means more fiat currency disbursed so all dollar-denominated assets go up in dollar value relative to the (larger dollar) budgets.
Last night driving home I said to myself “gold is gonna spike”. Just sayin.
Since it's just digitized numbers in accounts, why "sell" anything to anyone? We shouldn't have to pay the fed back for saying the government can create something out of thin air.
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