Math is a stubborn thing, and the current bond market math just doesn’t add up. From Matthew Piepenburg at vongreyerz.gold:
As a polarized U.S. marches toward a political, financial, and perhaps even military crossroads in the closing months 2024, many feel what George Lucas might otherwise describe as a “disturbance in the force.”
From blow-off market tops, empty political platitudes and an openly broken bond market to debased currencies and large swaths of the planet at war or inching toward escalation, it seems we are juggling aspects of the stupid, the broken, the insane and perhaps even…the evil.
Let’s start with the stupid.
America’s Bond Market
Over the next 3 years, Uncle Sam (or Aunt Yellen) has to re-finance shy of $16T of US debt.
This figure is painful on its face, but the pain gets even worse when one understands what the debt-addicted (and spend-crazy, vote-peddling) clowns in DC have done to our Titanic US debt levels ($35T+) and the ice-berg-bound US bond market.
As I have been repeating for years and will repeat for years to come: The bond market is the thing.
Once one soberly understands debt levels, credit markets and the cost (yields) of that debt, one can soberly foresee the end-game for bonds, stocks, inflation cycles, fiat currency shifts and, of course, the longer-term direction of anti-fiat assets like gold.
Impressive Buildings, Empty Heads
Looking now at the $16T re-fi alluded to above, we get a case study of how a nation becomes a debt-trapped embarrassment hiding behind otherwise impressive financial buildings.
After all, anyone who has stood before the Federal Reserve or US Treasury Department can’t help but admire the impressive architecture.
Unfortunately, the CV-smug and partisan-focused administrators within those walls are little more than a sustained level of mediocrity, most of whom care more about their next political post than the condition of their nation in the next twenty years. See: We Owe the Next Generation an Apology.
Stated simply, this collective of self-servants masquerading as public servants is the heart of the American financial darkness.
Like those before them, our central bankers, Treasury officials, and (s)elected (lobbied) leaders have promulgated the fantasy (policy template) that every debt problem can be solved with more debt, which is, in turn, paid for with debased/inflated fiat money.
Sounds great? No? Who wouldn’t love such a miracle solution?
A disturbance in the farce since spring 2020.
Sixteen trillion instead of tons?
No wonder they hunger for WAR.
Even Forrest Gump would notice how evil and retarded it all is.
These things happen when you are stuck on 19th century plans.
This just in from Gravenoire:
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