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This Has Never Happened Before
Presented with little comment aside to ask rhetorically just how screwed up markets and macro data are to allow 'this' to happen...
For the first time in history, based on FRED data, the 30Y constant maturity yield is below the real GDP growth level...
h/t @NoAplha_AllBeta
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You are here> never happened before land
Manipulated bullshit market from a manipulative bullshit federal reserve and government. It represents the bullshit policies the US endorses to hide the truth. And that's why I am labeled "radical", because the truth today about the economy is radical.
Because the US cannot afford 7% on 30 years.
Where the US will get the $$$ to fund a war against the Russians or suspend social benefits (American Civil war) is beyond me. But I think it has something to do with Yellen and the CTRL + P buttons on her keyboard.
Still waiting for the helicopters to drop crisp, freshly printed reserve notes!
I go to the Sparkasse ATM near my office every pay day and pull out 200 Swiss Franks I hold in cash. I expect the Swiss to let go of their 1.20 peg sooner rather than later. At which point I'll make a killing.
Would you care to explain that in a bit of detail??
Why should 200 CHF in paper be better than 200 CHF on your account, assuming you are Swiss and living in Switzerland.
(Cool, somehow I managed to write scientific notoation, never happend before!)
Is it different this time?
Looking at the above-chart, I think the answer is 'yes.'
Wait, stop.
Where is -3.9% bar for Q1 2014 which should appear immediately before the +4.0% (or now +4.2% with today's revision) Q2 bar, where this momentous crossing event took place?
True. All this chart shows is the GDP number is cooked, it's not that meaningful (unless the implications of cooking data is meaningful to you in which case, God help you it's going to be a long couple years).
+1 cooked... not meaningful
-1 couple years, optimistic you.
The DOW won't get much higher than 17 thousand. We're damn near the peak. This house of cards is about to collapse.
"...real GDP growth..."
Here is where it IS different.
There is no REAL GDP growth.
'CHF'... Congestive Heart Failure...
I think he/she prefers to hold it personally.
Bail-in(s), you know.
Scientific notation is handy, espcecially when describing monetary policy figures, like 10100 (Googol) $
Scientific notation is handy, espcecially when describing monetary policy figures, like 10100 (Googol) $
Still waiting for helicopters? Was not over $ trillion printed annually enough? Oh, you took him literally. Don't you know those helicopters only land on Wall Street and at the Treasury?
If the Ferguson riots seemed bad, wait until people are running around scooping up FRNs. Shit will get real serious real fast.
Which is why they will just do another 'tax rebate' through the IRS except this time it will $6,000 per person instead of the $600 they did back in 2008.
7% :O ha 4.9% would kill us
Manipulated? You assume this is because of the gdp "growth"...
There's no growth and the market is wiser.
Yep. Two or three quarters from now when the last six quarters are revised to negative GDP this'll be disappeared.
Like it never happened.
Thanks. "Not different" this time.
The most manipulated part of this post is the graph. If the GDP they show us is saar then last quarter should be negative and it wouldn't be the first time they have crossed. If you are using yoy, 2Q14 was 2.5%, less than the 30 year.
fwiw, It also looks to me as if the FRED data linked to only goes back to 1950.
Because US deficits are considered GDP "growth". Beyond fucking retarded.
Our economy is imploding.
And what does our country do to jack up gdp?
Every street in the country is broken open and redone.
All that spending is now gdp but we're broke and can't print.
But even with the current account, they're short 6000 euro's per working citizen that's need to be taxed. Now with all those construction works...
And now our defense budget is also going to spike to update our army which will show a massive increase in gdp but will severly weaken our economy.
So the can is kicked 12 months... After that... The can went down a bottomless sinckhole...
Oh, I'm sure it'll all work out just peachy, somehow.
The truth about anything is radical and shamed!
Truth is treason in the empire of scum sucking corrupt shit bags...
Had enough yet?
Another thing that never happened before is Obama showing wisdom and intelligence.
Oh, wait... That never happened and will never happen, unfortunately. But maybe he can pretend it happens if he got new people to write the teleprompter scripts.
You're to harsh... Even a owl can look wise and intelligent...
Oehoe...
I didn't think that it was possible to rehabilitate the reputation of George W Bush but it seems I was wrong. Obama is doing a wonderful job of rehabilitating the reputation of GWB.
that's just....fucking balderdash
President Camacho couldn't rehab Numbnuts leg-assy
Because.... it's a faaaaaaaaake! (DS9 nod)
https://www.youtube.com/watch?v=7qKcJF4fOPs
Even Benjamin Cisco of DS9 staged a False Flag to bring the Romulans into the War against the Dominion.
Even the "good guys" (the Federation) were not above and beyond it.
Moral Relativism ruled the future in that fictional series and does so in reality today.
And Americans during that insidious programming, were programmed to believe that, since it serves the "greater good", that it is an acceptable behavior.
Yes. The word is EXPEDIENCE.
That was the sale. They sold the idea.
Secular Humanism has served this Nation well and we will realize the just desserts as the result.
Q: So... Deflation gets upper hand in the Inflation/Deflation balancing act, which serves to maintain the Status Quo (Wealth Transfer/Theft)?
Is this what we are seeing, or is it s/t else? Que pasa, Tyler?
This time it's different.
key words-based on data--GDP is really much lower so the 30 year is stil higher in reality
Is that the REAL gdp with the real underground economy or the REAL gdp without the underground economy?
apparently includes Q2 GDP which beat handily... another excel solver problem, perchance?
Hookers, weed & coke. Come on man, get with it!!!
FWIW...I had my first sex with somebody other than myself in Apr 1977 when this graph began...and it was with a human GIRL!
Same downward trend though, since I got married..
Hookers, weed and coke are way cheaper than a wife.
Back to the three F's
If it flies, floats or fucks, rent it!
USA! USA! USA!
awesome, simply awesome...
https://www.youtube.com/watch?v=K0ll5yizGLo
One way or the other, these days are shaping up to be the Astroglide event of mankind
Because this time it really is differant?
Mmmmmm! Astroglide... feels so good!
The 30 year is visible and quantifiable. GDP has become a raindrop in a hall of mirrors.
Get your umbrella....looks like a rainstorm is coming.
Horseshit. It is just as manipulated and fabricated as GDP.
Manipulation was not my point. I can go long the 30 year...but I can not go long GDP.
Falsifying GDP to move the long end...
Beyond bazaar, and frightening to say the least.
Neither one of them are real numbers any more. Not sure there's any significance...
Stop trying to make sense of it all and simply true to recognize the truth; that there is no market for true price discovery.
If you have inside information, you will make money, another truth is that many people do.
Americans are being deceived and betrayed by the CFR.
Real GDP has been negative for years.
If REAL INFLATION was used REAL GDP has been negative since the year 2009.
The problem with lies is that they always lead to more lies.
We just had a few days of Monsoon rain in the dry, dusty Arizona desert and my backyard is full of green shoots! I'm pretty sure that if I just let these shoots grow, I'll have a backyard full of beautiful, fruitful and economically rewarding trees - maybe some orange, apple and pear trees, or maybe even some vegetables & herbs will sprout up. Dammit, I might even get a few oaks or tall timber pines from these little green shooters, so I can add a new wing to my house, build a boat or maybe even there will be enough wood to start a new homes construction biz. Thank you Bernanke and Yeller for teaching me about green shoots! Its good to be rich! Wait, hold on. My 4 year old son is saying something. Can't quite understand him since I'm drunk with green shoots punch. "They're what?" I have to yell at him because the little sucker is insistent that I look a little closer at all these 'lil shooters. He's saying they're all weeds. I don't believe him. Yes its true that we don't have oaks and timber in the desert - but things are a changin' aren't they with all that global climate change warming stuff. Maybe there really is a forest popping up in my back yard! WHO THE HELL ARE YOU TO TELL ME THAT MY DREAM PLANTS DON'T GROW IN THE DESERT? Doesn't matter, even if they are only weeds as my 4 year old figured out, I'm sure I can get rich off those too - after all, they are green shoots...and green shoots equal real recovery, then growth, then not-so-excessive exuberance, then bank-silly riches. Where is that little shit anyway - time for him to shut up and take a nap.
Don't give deserts such a bad name by associating them with such thievery!
Brad Landcaster of http://www.harvestingrainwater.com/ in Arizona is growing all kinds of cool stuff in Arizona.
https://en.wikipedia.org/wiki/Paulownia_tomentosa is one of/the fastest growing hardwood and it does great in the Sonoran.
Give em Brondo, it's what plants crave...
Nicely put UGP.
They'd tell you to just use a secondary Y-axis, would fix that little apparent "problem" in a jiffy ...
Ricky, you just opened up Pandora's shit-box
Do you know what a shit-barometer is Bubbles? It measures the shit-pressure in the air, listen Bubs you hear that? The sounds of the whispering winds of shit
You feel that? The way the shit just sticks to the air? There's a shit-blizzard comin, I always know
We're about to sail into a shit typhoon Randy, so we'd better haul in the jib before it gets covered with shit
You idiots have loaded up a hair-triggered double-barreled shit machine gun, and the barrel's pointed right at your own heads!
Shit moths Randy. They started as shit larvae and then the grew into shitapillars. A whole pandemic of shitapillars
What he said.
Pass me the bong.
Heres a real fecalphiliac! Stands out in the yard with head back and mouth open in a shitstorm!
That always happens on FRAUD based economies. You don't see it very often because FRAUD based economies quickly go boom.
Just so we all know. Nothing crashes until somebody big doesn't get paid (and bitches about it).
its a new paradigm in central banking and economics.. zero vol, zero interest rates, zero inflation, zero uncertainty, zero risk.. SP2000 -> 5000
It is a mullet market. Not sure if I should go short or long.
Maybe Billy Ray Cyrus has the answer.
Don't break my chart my manipulated chart
I just don't think they'd understand
And if you break my chart my manipulated chart
It might blow up and kill their plans
Sorry....couldn't help myself.
You got a line dance to go with that?
Awesome..actually lol on that one.
Those buying the bonds are either matching assets to other liabilities (pensions) or are smart enough to 'see' the REAL GDP, which is negative - and so the 30 y bonds are attractive.
Plus, there aren't many more being issued - so they become more scarce as they are bought by pensions or others with matching long term liabilities. scarcity = price increase = drop in yield.
Which is way we know for sure they will force things into inflation - there is absolutely no doubt - (but, will they be able to check it when they need to or will they have a Jimmy Carter run on their hands?)
"Randy, the shit pool is getting full. We better strain it before it overflows and causes a shit slide that could cover this entire community. I will not have a Pompeiian catastrophe happening in Sunnyvale." (Randy:) "That was lava, not shit, Sir." (Lahey:) "Don't get smart with me, Randy, it's cop talk. Listen and learn."
i don't think there is any significance in analyzing the relationship between two bogus metrics, especially ones with very little correlation to begin with in the face of the continuing bond bull whose death has made fools of an entire generation of analysts now.
Too Bad, you must be short.
Lending Club to become a DOW stock in a few years.
By Chumbawamba - circa 2009
In a nutshell (because my education took years, so you can't expect me to give you the important background to my argument in one posting, or even several) this system is f*cked. Our debt-to-GDP ration is well beyond what other empires experienced just before their collapse. Our central bank is monetizing thin air to pay off the financial blackholes created by unregulated/out-of-control over-the-counter derivatives that are valued at well over $600 trillion globally, and our government is planning to borrow every last unit of currency under the moon in order to keep from falling into a fiscal abyss. How the hell does anyone expect this is going to turn out anything but very, very badly?
There are now literally tens of trillions of dollars of liabilities stretching from here on decades into the future. Our debt-based monetary system means these liabilities will only increase in cost and interest as time goes on. From where are the revenues going to come? The pace of productivity and wealth creation in this nation will have to inflate accordingly. How is this going to be accomplished? Do you have any answers? Does anyone?
We took a quantum leap from billions to trillions--a thousand-fold increase--in our economic discourse. It follows then that our GDP will have track this increase to keep up with the new normal. Again, from where are the revenues going to come? Are they going to be conjured up again like magic, so that we go from trillions to quadrillions as the new new normal? Or are you going to be expected to magically increase your productive output 1000 times to make up the difference, along with every other American (including children 1 and older, since we’ll also be needing more manpower for the job, way more than we have even if you include the illegals)?
WHO IS GOING TO PAY FOR ALL OF THIS?
The answer never comes. Oh yeah, this is simple to solve, they say. They'll just "add liquidity" to the market, then "drain it", as if this was just a matter of doing the dishes, and all the complaining and fussing and fearing and loathing and hemming and hawing was all just a matter of no one wanting to pony up to the sink to actually do the deed. But no, that’s just a cheap distraction. So the question remains:
WHO IS GOING TO PAY FOR ALL OF THIS?
I’ll tell you who: Us. As in you. And I. Or at least those of us that are silly enough to file and pay taxes (I don't know about you two, but I do not submit to extortion, otherwise known by the letters I-R-S). And how many people like me do you think there are now? Probably just a relative few. We're the "out there" nutballs. We're the ones that make wild-eye predictions of economic collapse and social chaos to follow. We're the ones who get pooh-poohed. Until the government keeps pulling shit like this. Then we grow in numbers. The disgusted; the disenfranchised; the disaffected. We find each other, learn from each other, and spread the wisdom. We watch as the government creeps upon our God-given freedoms like a depraved predator, one after the other, picking them off until one day we’ll be left naked and defenseless. But we prepare, and in the meantime we keep introducing new people to the mouth of the rabbit hole. And if you’re courageous, and intelligent, you’ll go in. And the deeper down the rabbit hole you go, the more you realize that real money—gold and silver—is the answer.
As more people discover the answer, the dollar takes one step closer to irrelevancy. Once it reaches that point, you have hyperinflation. Once the dollar enters hyperinflation the game is over; or rather, it just begins. But then that's a matter of perspective :)
Will the dollar cross that line of confidence? After all of my study, I sincerely believe it will and am convinced beyond a shadow of doubt about that conviction. I’ve been waiting for someone to come along and explain how I’m wrong about this. Despite my rhetoric, my eyes and mind are open. Convince me. Anyone?
In short: follow Austrian school of economics. I'm not saying they have ALL the answers, but so far it seems they have pretty damn nearly all of them.
----------------------------------Ask yourself these questions:
1) What system is collapsing? The one in the US? I.E. the dollar?
1a) If the dollar collapses, what does that mean domestically?
1b) What does it mean internationally?
2) Is the FDIC solvent?
2a) If not, how safe are your bank accounts?
3) Are the firms in which you have your various retirement accounts solvent?
3a) Really? Are you sure? Did you check their balance sheet?
3b) Including all their hidden liabilities?
3c) If not, how safe are you accounts with them?
4) Does America strike you as a financially strong country?
4a) If not, do you think America will remain the world's sole superpower indefinitely under these conditions?
4b) If not, what does that mean for the dollar, the world's reserve currency, and the unit of account upon which all other world currencies (except gold) are based (again, domestically and internationally)?
Mull that over.
But here's a spoiler. The answer to all the above is:
Don't wait until inflation eats away your savings. Every day you wait is like an ounce of silver slipping out of your hands, lost forever.
History is your teacher. All others are substitutes. Including me.
- I am Chumbawamba.
The government has been taxing your pensions for the last 10 years.
It's called DOLLAR DEVALUATION idiots!
.
- unknown ZH poster.
..."Exactly. Which is why most people I know think they can ignore the math and everything will be okay. They fight the very idea that there is a real decline in quality of life, that it is permanent, and that it will continue to deteriorate. As Michele added above: "Apres moi, le deluge." Everyone else will get screwed but not me, I got mine.
It's a tsunami. Previous paradigms no longer apply.
Teevee, junkfood-addled Amerika could not withstand a currency collapse. The Black Plague made human capital valuable again - in modern application we have tens of millions on the gov't teat with no recovery.
http://www.martinarmstrong.org/files/Are-We-Running-Out-of-Other-People-...
All those 99-weekers waiting for jobs. What jobs? Doing what? The service economy is a fiat lie and our infrastructure is based on a constant flow of cheap oil.
Mortgage? WTF for? Prices are artificially high because of 1) shadow inventory 2) who can say they will be employed in their profession to make payments for 30 years anymore - no man is an island.
Stay nimble. Stay quick. This is no time for white picket fences. Going back to the sad, miserable, drugged-up state of our Nation it ain't a stretch to imagine that the Mandarin speakers are planning to make use of their raw (war) materials and spouse-less young men for "real estate acquisition". Hasn't anyone read a history book around here? The Chi-Coms have openly spoken of how they deserve North America. This kind of scenario isn't discussed because it is the worst-case scenario outside of nuc-bio-chem warfare, and then subsequent invasion.
"Oh, but China needs us and we need them." Bullshit. Everyone is buying time. The Chinese aren't stupid and they know they aren't getting their money back. Some finance guy over there said US bonds are not safe medium and long. In other words "We are trying to buy as much time as possible to acquire tangible assets that matter!"
All the survivalists from the 70's were wrong because they didn't understand the "Nixon" trick/effect of taking us off the gold standard and taking paper money to its extreme utility. It would have been better to face this shitstorm back then. Back when Americans were still eating meals that had real nutrition, no obesity epidemic, actual human interaction, strong infrastructure with less bureaucracy. Today it's all bloated beyond recognition.
When the Fed finally makes a move that has a visible and real effect on Amerika even rationing of supplies won't keep the interurban areas content. We are at the brink of a f.u.n.d.a.m.e.n.t.a.l. shift. Be far away from the millions that require a weekly check for their very survival. Do you think the owners of the Fed care if millions starve?"
- unknown
Rusty wins best post of the day.
Rusty wins best post of the day, twice.
History??? You believe history at your own peril.
History tells us that JFK was killed by Oswald, a lone gunman. It also makes no connection between the killing of his brother, RFK, and Martin Luther King.
History tells us that O.J. Simpson is not guilty of killing Ron and Nicole.
History tells us that Abraham Lincoln, instead of being tried as a war criminal, along with Davis, is a god, a national Hero and yet he and Jeff killed 1.2 million men and ruined their families, jailed media owners and editors who did not agree with him about secession. Lincoln suspended Habeus Corpus. If he did any of those things today he would have been impeached, jailed, and tried for treason. Instead his ugly face is plastered on a hilldside.
History?? I'd sooner trust bill clinton with my 15 yr old daughter.
There goes Rusty, pumping Bitcoin again.
It may be gross and it may be domestic, but that is not production they are measuring.
Inflation via devaluation is not production or growth.
Just stop reporting the numbers.
I hate being lied to every month/quarter.
True, they might as well start adding fairy wings and unicorn horns to the gdp.
Yep, and what they are calculating is actually spending, not production, and since the spending is mostly debt then this is not past production but the expectation of production to be performed in the future.
Tyler, can you overlap the dollar index on this chart?
Thanks
Why? It is just a weighted geometric mean of the dollar's value compared with a basket of 6 other currencies that don't even include the RUB, CNY, AUD, INR, KRW, MXN, ZAR, or BRL.
Euro (EUR), 57.6% weight
Japanese yen (JPY) 13.6% weight
Pound sterling (GBP), 11.9% weight
Canadian dollar (CAD), 9.1% weight
Swedish krona (SEK), 4.2% weight
Swiss franc (CHF) 3.6% weight
The Dollar Index is all about optics.
Just curious HH. Point taken. ;-)
in a steady state economy both of these metrics will be zero. in a contracting economy, likely what we will have for the next century, they are both negative.
It would make sense for the PTB to pull an insurance job on Las Vegas. Las Vegas is basically over because of the drought.
Smashing Vegas with atoms is win-win. Cash-out the premium players before the drought makes them close shop and justify the start of the next war.
GDP is printed UP, the 30y yield is printed DOWN. Makes sense to me. Not that it's a stable situation, but understandabe.
This is not a precedent because the real GDP is negative and over reported by unreporting inflation, the difference of which is transferred to the bottom line creating GDP where there is none. This is covered in "The Science of Liberty" at www.scienceofliberty.us, where you can read it free as a pdf. SERFS UP AMERICA!
Um, why should it matter?
In fact, isn't it a wonderful thing that you can borrow money for 3% and see growth at 4%? Means we should all borrow up the wazoo - if we could borrow at 3%. If this is a first, WHY is it a first?
Even if it is true, in my 48 years of investing, I've seen LOTS of "1st". ALL I want to know is how I can use this info to make money?
By Staff News & Analysis - August 28, 2014
- See more at: http://www.thedailybell.com/news-analysis/35600/Bloomberg-Shock-Economic...
this is basically how I feel about this!
https://www.youtube.com/watch?v=OQSNhk5ICTI
I'm in total awe because this madness just keeps on keeping on.
The wavelike movement affecting the economic system, the recurrence of periods of boom which are followed by periods of depression, is the unavoidable outcome of the attempts, repeated again and again, to lower the gross market rate of interest by means of credit expansion. There is no means of avoiding the final collapse of a boom brought about by credit expansion. The alternative is only whether the crisis should come sooner as the result of a voluntary abandonment of further credit expansion, or later as a final and total catastrophe of the currency system involved.
Easy explination: The GDP is over estimated.
OR the King has no clothes...
I think short term rates will eventually be zero to negative. 10 and 30 year will continue their downward course. TPTB will print, print, print. They will do it by any mechanism they can think of. Do we actually have substantial inflation present? Of course, it is obvious in food, healthcare, gas, autos, education, etc. Will that inflation be reflected in the long bond? I don't think so. They can't let rates rise or it is game over. They know it; we know it. They can't say it though. That's why the talk of a taper. Funny thing is they never have stopped adding liquidity. They aren't stupid, They know exactly what they are doing. Keep pushing it out another month, another year. Compounding fiat systems are ultimately inherently unstable. Eventually, you get to a part of the curve where exponents take over. They can go for 70-100 years, but they finally fall apart. The big problem I see now is that the big miltary machines have way more potential to change lives versus 100 years ago.
I am reminded of this post a while back by Cougar, I think.
"Hope you didn't put much money on that bet, Dawg. These fuckers are going to print hard enough to wake the dead. They'll print like mo'fos, print like mad men, print like fly pimps. Print until their eyes bleed. They will print via the swaps, via bank bailouts and mergers, via fixed Treasury yields, via real honest-to-God negative interest rates, via loans to banks on no collateral, via payroll tax reductions, and in the end via actual fiat paper instruments which they might very well drop in bails from actual mutherfucking helicopters. They will not give two figs what anyone thinks. Here is why. Because this is the Goddamned end of it my friend. There is no accounting beyond this point. There will be no history of it. No one to take notes of rates of exchange, or of the graft and violence, nobody to worry about the deficit or the GDP or the national debt of any nation large or small under the blazing Goddamned sun. End. Of. It. Does anyone bitch about how Rome totally debased their coinage at the end? Hell no. But whoever did it had enough to hand and grabbed some land with a nice vineyard and sat back and waited for the Middle Ages to start 700 years further on. And that's what a singularity is about. Anything that passes through is striped of all meaning. Nothing we think is important now will remain so beyond the event horizon. Nobody will remember, nobody will write about it, nobody will be held to any standard. Ever for evar. So yeah, they'll print like the mad crazed terrorists they are. Because they have nothing to lose, and maybe something to gain. Maybe a dollar. Maybe a day. Maybe a slim chance to escape with some of the loot. Whatever the fuck advantage they see in it, for themselves and their elite crap wanking buddies, they will full-on-full-time-fucking do it to advantage. Watch for it, Dawg. It's totally on this time, on like Donkey Kong. And when the dust is settled in a generation hence it's going to have become another unbelievable episode among the ages of men."
Now, the comment might be extreme, but what tools does the government really have other than taxation, guns and printing? Printing doesn't actually create anything. We have the biggest guns so that gives the US the ability to demand that you stay in a dollar system. When you look at the middle east through the lens of oil priced in dollars, you see a pretty remarkable correlation between the lifespans of those countries and those who have tried to switch out of the pertrodollar.
I would give credit to Obama...but he is really a bit player(on the other hand his foriegn policy is on par wiht Chamberlain)....it really is the total takeover by wall street money men(private equity included) of Washington is really the problem. If you can't figure out when the FED prints $4 Trillion to give to the banker class so they can liquidate their massive bubble....Then I can't explain it you. That is a 25% of and entire USA GDP...TWENTY FIVE PERCENT going to a select group of people....GIVEN TO THE MOST CRIMINAL MONEY MEN IN HISTORY! And the corrupt bankers are back at it....with massive bonuses to build a bubble which they have ZERO VESTED INTEREST IN....they will happily short themselves into oblivion...they already did it last time!!! The economy supernova is coming.
"Real GDP" as opposed to what? Fake GDP?
"Real" = adjusted (allegedly) for inflation. Which, I suppose, makes it fake!
What happens when they both go negative?
Meaning the 4.2% GDP number is completely false and is more like 1.5% heading into the winter...ANYTHING to tell the sheeple heading into midterm elections things are okay...expect really bad news to start on Nov 5, coincidentally the day that the Repubs take the Senate...
If the trendline is followed, the 30y Treasury rate will hit zero in 3 years.
All debt will be settled in cattle. Each one going for $1 USD Trillion. MOOO. Clean slate.
Sell Those Bonds?
Actually, I think it indicates the opposite....it is a trend very few people seem to believe is for real (to wit, speculators have fought the downtrend in yields stubbornly since the beginning of the year, by continually holding huge net short positions in t-note futures). I think yields can go even lower - mind, this is not a comment on whether this "makes sense", it is merely a comment on what I believe is likely to happen.
bullish!
I'm glad I have my oBammy $1 trillion dollar bills.....
I think the chart needs to go further back to the 1950s when the 30yr had a ceiling of 2.5%, this chart doesnt go back far enough...
Not a surprise unless you still believe in all these economists and market anlysts that write from paradigms that US/EC are not heavily indebted nations with rigged markets and data.
The prices are dictated by markets and they are handing the a*ses back to the debtors. Creditor nations are quite comfortable in parking the fiat trash in this space. Parking just enough for diminishing trade settlements and not chasing yields. Comfortable in doing so because they are not ready to replace $ hegemony.