Can anybody tell me whether this has happened before to Europe’s biggest economy?
Peter Schiff says the Treasury bubble is collapsing as we speak. He says it’s like the condo bubble. Nobody is buying Treasuries to live in them, there just buying them so they can flip them to the government which guarantees them.
This may be good news. If Obama can’t sell Treasuries to finance his expansion of govt., he may be forced to raise taxes. Then, he will come under the scrutiny of the people. Then also, we will see how much those who voted for him will really love him after he does that.
The difference is that Germany doesn’t have a print-happy central bank promising (in so many words) to print money to buy bonds if need be like Bernanke is doing. So Germany’s bond market is actually a competitive marketplace instead of a rigged, central bank-created, bubble marketplace like we have.
The things that frustrates me about currency discussions is how deceptively insular they are.
Political reactionaries consistently predict the demise of the Dollar.
What economy is a better investment than the US economy?
I really cannot fathom it.
The US economy is in decline. But which global economy is in ascendancy?
Ironically, economic decline does cause investors to flee to safe havens such as the US economy.
China, India, Spain, I dont know what country people might be thinking do not have better safer economies.
Truthfully, all these reactionaries do this stuff deliberately because they hold Gold and want to artfully twist more money out of people’s hands.
It won’t be long before there’s limited demand for US 10 and 30 year Bonds...offered at 10% rates.