Posted on 02/11/2016 9:40:48 AM PST by xzins
Not by the Fed.
Negative rates will completely bomb the bond market, but since the fed appears to be the main purchaser any more, I suppose she isn’t too worried about it.
Seems that the Fed is upset that people have money they can’t get their hands on, so they want to force them to spend or lose.
Is that how you see this?
This is why G_d made red dot sights.
“there’s a ‘chance’ of a downturn ahead”
A government administration like Obama’s in the US overstimulates the economy guaranteeing a downturn so the 1% and others will cash out and pay capital gains taxes during the present government administration.
Not a chance of a downturn, a certainty.
Actually, we’re most of the way (~75%) through the correction.
Why?
but since the fed appears to be the main purchaser any more
The Fed stopped buying new bonds in October 2014.
Yellen is simply trying to steer any recession so it lands in the lap of the next administration.
That is sinister all by itself.
I see it as the fed desperately trying to find any means possible to continue allowing the federal government to spend billions and trillions more than they take in. It is a government welfare plan, built on the theft of money from the peons across the country who do not have any real voice in the decisions being made.
Forcing spending is the subliminal message, but the stick being wielded is nothing more than naked theft.
Ordinary guns are unlikely to hold value.
There are too many around economically.
I used to think camera lenses were a good way to store value. They may be again once the creation of improved versions dies down.
However, I now think there is no beating the system. It is easier to cheat me than for me to earn money.
Bond yields are tied to the interest rate. Japan just recently canceled a bond auction for lack of buyers due to negative interest rates.
I’m glad the fed no longer is buying new bonds, but I also realize they never should have been buying them to begin with.
Good advice. I bought a couple WASR AKs about 15 years ago and they have tripled in value, along with some others ... those that survived the horrific water skiing tragedy.
I’ll bury my pictures of Ben Franklin, US Grant and Barbara Bush in a waterproof vault before I’ll pay my bank to store my money for me.
Then it becomes their money and I’m renting it.
We’re going to see home invasions skyrocket if people start squirreling their money, but what do they care? They declared war on the American working class a long time ago, so, back to investments ....
Yes.
Japan just recently canceled a bond auction for lack of buyers due to negative interest rates.
I hadn't heard that, you have a link?
Or the right hand.
That’s why they want to banish cash. Then you can hide Grant all you want, but he’s worthless when you pull him out.
They want all our wealth in digits.
Aye, there’s the rub!
The answer is NO.
You have to pay the banks to give them your money and you have to PAY them to borrow!
What do you think is going to happen when the interest on the federal debt exceeds 50% of all revenue?
That will happen quite soon and then the only way to continue the crime will be to largely do away with scrip money altogether.
That way your money cannot be moved when it’s value collapses and you are stuck in the classic trap where you will pretend to work and they will pretend to pay you.
Don’t believe me?
“Yellen is simply trying to steer any recession so it lands in the lap of the next administration.”
That’s what all government economic types try to do nowadays.
The main reason there is so much income inequality in the US is because many of the rich know how the government milks the economy to the max to fund wars and buy votes.
I googled it, but haven’t checked the actual link:
Is that real trillions, or fiat trillions?
Or does it matter since the dollar is backed by nothing.
No no. You’re looking at it wrongly. The economy is doing so well that the Fed needs to raise interest rates negatively.
PVC pipe is waterproof and can’t be detected by metal detectors.
A one-inch diameter piece of PVC pipe six-inches long with two caps [costing about $2 (+PVC cement ~$8)] can hold $2,000 easily.
I have 25,000 square feet of property.
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