Posted on 04/15/2022 4:56:47 AM PDT by blam
... we have laws against their acts.
___________________________
Laws need to be enforced. The lawmakers are corrupted. The law enforcers are corrupted. The law interpreters are corrupted.
The average person sees the above and figures they don’t need to respect the law, they just need to have enough juice or luck or leverage to not be beholden to it. They dedicate themselves to the Great Loophole(s).
The sly fox sets up a den inside the chicken run and harvests just enough eggs and chicks over time to feed themselves and raise a few generations of fox. The farmer doesn’t notice and neither do the chickens, until, one day, there are more fox than chickens and suddenly....overnight, for no known reason... all the chickens are gone.
Meanwhile, the farmer decides to raise hogs, because obviously, there is no percentage in raising chickens.
The plutocrats bought the world. They consolidated their holdings, hired or purchased the essential minions, and now, they are clearing out the vermin prior to taking full ownership.
The smart and the savvy are working for the plutocrats. The rest of us are being dispossessed. For some reason, the owners of the world seem committed to following the letter of the law, while subverting its essence.
It seems to be working for them.
Straight from H. Beam Piper.🤔
The only way to win is to not play the game:movie War Games.🙄
“He needs trashed at every opportunity since he ran a multi-billion dollar Ponzi scheme and stole over $700 million in the final count...Martin A. Armstrong is a criminal.”
Literally a convicted criminal sentenced to 11 years.
But our deluded conspiracy addled liberaltarians, have him close to their hearts.
Re Bigly > He may be solid & have it all right, seems big on the status quo. But...anyone here for 15 months or so is still a newbie in my book.
“But if rates go up, the lender is basically screwed .”
Banks use different hedging techniques to mitigate interest rate risk on mortgages.
This is a good explanation of how its done:
https://www.quora.com/How-do-banks-hedge-interest-rate-risk?share=1
The point is that SOMEONE is sitting there with a 3% investment that is basically paying a negative interest rate when you account for inflation. And they’re stuck with it for the next 30 years if I live long enough to see the end of it and I don’t move.
That is not a hedging technique by definition. If you dont own the “thing”, you are out, there is no risk to hedge.
Plus you are confusing monetary inflation with demand/supply price increases. Investors focus on mainly the former when loaning money “If I loan X number of dollars, what will those dollars be worth when I am repaid”.
Your 8% inflation is today. Bond holders forecast what it will be over a 20 or 30 year bond period. Does a startup business base a 20 year business plan on what the P&L will be in year one? No of course not.
More re Bigly:
He still thinks Ozzie and Harriet is on TV.
Today’s mass media shows Trans couples with pet wolves.
Current US foreign policy is to make the world safe for perverts—Bigly just hasn’t gotten the memo yet.
The 8% inflation rate is "today."
The SHORT TERM U.S. Treasury yields are less than 0.4% (one month), 0.8% (two month), and 1.25% (six month). Someone is losing a ton of real money on these things.
You are comparing price increases to monetary inflation. If your rent is going up 25% in one year, are you “losing money” on an investment just because it will only gain 20% during that time? Do you not investment in something if it will not cover the price increase of a new car next year, stock goes up 6% with new cad goes up 12%?
He apparently stands by his innocence, using this 2014 documentary to tell his story:
https://theforecaster-movie.com/
(The above link is for the trailer; the full film is on Amazon Prime.)
I haven’t watched it, but it sounds like it may be worth a viewing.
Your assumption drawn out to it’s logical conclusion is that all the traders and portfolio managers are dim witts and do not know how to properly price the inveztments they buy and sell. They control the yields on bills, notes, and bonds, not the FED.
Except the FED has about $9 trillion on its balance sheet, and about two-thirds of that is U.S. government debt. At the height of the COVID fiasco it was buying $120 billion worth of bonds every month.
Your assumption drawn out to it’s logical conclusion is that all the traders and portfolio managers are dim witts and do not know how to properly price the inveztments they buy and sell.
Not at all. My assumption drawn out to its logical conclusion — which was the basis of my original post on this thread — is that this isn’t a “free market” anymore and has all the characteristics of a rigged game.
The FED IS NOT buying bonds cuurently so who is doing the rigging right now?
“The central bank has purchased over $4.5 trillion worth of those assets since the pandemic tanked the economy in March of 2020. According to the minutes, the Fed will start getting rid of those bonds to the tune of $95 billion a month.”
They are now “rigging” yields higher, how does that support your explanation for yields right now? (hint - it doesn’t)
Get back to me in a few months. At a time of international turmoil a short-term U.S. Treasury bond would be seen as a “safe haven” for institutional investors.
By then recession signs will be quite evident and getting priced in so I don’t think the calvary will come over the hill for you then. We’ll see.
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