Bond Market

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  • togor
    Banned
    • Nov 2009
    • 17610

    #1

    Bond Market

    https://www.nytimes.com/2018/01/10/b...=top-news&_r=0

    Interesting reading. We use central bank purchases of US Treasury Bonds to finance our deficits.
    Last edited by togor; 01-11-2018, 07:42.
  • leftyo

    #2
    Originally posted by togor
    https://www.nytimes.com/2018/01/10/b...=top-news&_r=0

    Interesting reading. We use central bank purchases of US Treasury Bonds to finance our deficits.
    its all smoke and mirrors. if any person ran their personal finances like the gvmnt, theyd either be on the street living in a box, or in jail.

    Comment

    • dryheat
      Senior Member
      • Sep 2009
      • 10587

      #3
      Put another way, a government is not an individual household. Interest rates have been down for ten years mostly. Maybe it's a good sign.
      If I should die before I wake...great,a little more sleep.

      Comment

      • togor
        Banned
        • Nov 2009
        • 17610

        #4
        Interest rates on Treasuries may be headed up. The tax bill is going to add more supply to the bond market, at a time when governments are talking about dialing back purchases. Smoke and mirrors? I don't know what that means. For sure there is a lot of money involved, which means strategy and misdirection, but also fundamentals too. Truth be told there was a case to be made for raising taxes slightly to reduce or eliminate the deficit instead of taking it the other way.

        Yeah, I know, the tax cut will be fantastic for 2018 and maybe 2019. But ask a guy what he thinks of coke or meth in the first 10 minutes after he doses and he probably gives pretty positive reviews, such is the nature of the high. But eventually the crash comes. If we've coked up our businesses and financial sector with tax cuts and deregulation, then there could be a pretty big crash out there. Everybody's partying now, and as partiers are accustomed to doing, will look for ways to keep the buzz going as the hours run on. But sooner or later, the party ends.

        Anyways, I'm just a boring guy with no mortgage on his house or liens on his cars who also pays off his credit cards every month in full. So I don't know anything about money.

        Comment

        • S.A. Boggs
          Senior Member
          • Aug 2009
          • 8568

          #5
          Originally posted by togor
          Interest rates on Treasuries may be headed up. The tax bill is going to add more supply to the bond market, at a time when governments are talking about dialing back purchases. Smoke and mirrors? I don't know what that means. For sure there is a lot of money involved, which means strategy and misdirection, but also fundamentals too. Truth be told there was a case to be made for raising taxes slightly to reduce or eliminate the deficit instead of taking it the other way.

          Yeah, I know, the tax cut will be fantastic for 2018 and maybe 2019. But ask a guy what he thinks of coke or meth in the first 10 minutes after he doses and he probably gives pretty positive reviews, such is the nature of the high. But eventually the crash comes. If we've coked up our businesses and financial sector with tax cuts and deregulation, then there could be a pretty big crash out there. Everybody's partying now, and as partiers are accustomed to doing, will look for ways to keep the buzz going as the hours run on. But sooner or later, the party ends.

          Anyways, I'm just a boring guy with no mortgage on his house or liens on his cars who also pays off his credit cards every month in full. So I don't know anything about money.
          I am in the same boat as you with one exception, I pay cash as I hate to be beholding.
          Sam

          Comment

          • togor
            Banned
            • Nov 2009
            • 17610

            #6
            Originally posted by S.A. Boggs
            I am in the same boat as you with one exception, I pay cash as I hate to be beholding.
            Sam
            Paying for gas at the pump on a card is faster than waiting in line behind someone buying lottery tickets. And for when something gets bought online (like ammo for example), it messes up the computer something rotten when I try to shove the bills in the fan slot.

            Comment

            • dryheat
              Senior Member
              • Sep 2009
              • 10587

              #7
              I see the "house flipping" is starting again. -we buy houses- signs on every corner. The end is near.
              If I should die before I wake...great,a little more sleep.

              Comment

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