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Old 03-07-2019, 03:53 AM
Danny B Danny B is online now
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Join Date: Oct 2012
Location: L.A. Ca.
Posts: 4,497
Slow disintegration

"Last February’s “bipartisan” spending bill suspended the debt ceiling — then at $20.5 trillion — until March 1, 2019.
March 1, 2019, falls this Friday.
Friday’s deadline would pass harmlessly if the debt had remained at $20.5 trillion.
But it has not.
Today’s federal debt exceeds $22 trillion."
Meet the new debt ceiling: $22.03 trillion
Mnuchin Invokes Special Debt Measures to Last Until June
Something tells me that this is going to be a drawn out fight.

"Much like the Great Depression of the 1930s and the Great Inflation of the 1970s, the Great Recession of the 2000s shaped a generation of macro- and monetary economists. We can debate the details. But three things warrant widespread agreement. The Fed generated an unsustainable boom. It followed up with a severe monetary contraction. And it swapped out its traditional operating procedures for a new regime, reducing economic growth and increasing systemic risk in the process."
So, we are on our way to another correction in the markets.
How soon?

Apparently, bbb debt will get downgraded to junk and everybody will have to unload it.
We have another record fall,

Bonds have reversed a 40 year trend and, it's going to get ugly.
3/07 Tariff mistake smoking gun: trade deficit soars, GDP declines – Mish
3/07 Warren Buffett calls public pension debt a ‘disaster’ – IL News

3/07 Court rules legislature can change terms of health plan for retirees – Laurinburg
It had to come. GOV will reneg on every commitment that it can escape.
3/07 Global economy is sinking fast, and it will take the U.S. with it – SHTFPlan
Supposedly, we will be the last man standing. Except for Russia, of course.
3/07 Tariff mistake smoking gun: trade deficit soars, GDP declines – Mish
3/07 As the economy teeters on the brink of a recession, U.S. debt explodes – ECB

That probably wasn't part of the plan.
3/07 Dollar Tree to close up to 390 Family Dollar stores – US News
If family dollar can't make , you know that things are bad.

"“Last year, Japan’s debt-to-GDP ratio stood at 238%, and since 1994, headline inflation has been negative for almost half of the time. "
3/06 BOJ board member calls for more stimulus if economy sinks – Reuters
It hasn't worked for 30 years. Why stop now?
3/07 The US quietly negotiates ‘peace with honor’ in Afghanistan – Boston Globe
Didn't we do that in Viet Nam?
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