$Invesco QQQ Trust (QQQ.US)$$SPDR S&P 500 ETF (SPY.US)$ 1) e...
1) every year US GOVT will sell 2 + trillin worth of bonds to fund their deficits
2) china selling slow and steady
3) FED doing QT
4) BRICS selling bonds as well
5) Japan selling bonds as well to save its currency.
till now---2.3 trillin that is sit in reverse repo, i think that money mostly went to Bonds....
in less than 5 months....reverse repo drained from 2.4 trillin to 1.1 trillion
i dont know if its gone to long vs short dated bonds
so we are left with 1.1 trillion
since deficits are balloning...this 1.1 trillion will vanish in no time
whats next ?
who will buy the Govt bonds ?
do we see liquidity crisis like 2008 ?
well does it mean FED does QE forcefully ? means yield curve control ? well how will market react ?
if this happens, investors of bonds will get financial repression and will lose trillions of $ due to inflation and US govt will nicely liquidate their debt using this.
2) china selling slow and steady
3) FED doing QT
4) BRICS selling bonds as well
5) Japan selling bonds as well to save its currency.
till now---2.3 trillin that is sit in reverse repo, i think that money mostly went to Bonds....
in less than 5 months....reverse repo drained from 2.4 trillin to 1.1 trillion
i dont know if its gone to long vs short dated bonds
so we are left with 1.1 trillion
since deficits are balloning...this 1.1 trillion will vanish in no time
whats next ?
who will buy the Govt bonds ?
do we see liquidity crisis like 2008 ?
well does it mean FED does QE forcefully ? means yield curve control ? well how will market react ?
if this happens, investors of bonds will get financial repression and will lose trillions of $ due to inflation and US govt will nicely liquidate their debt using this.
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i short the sheriff : Think logically...what constitutes as save haven now days? well gold is the traditional way. Anything that have a real intrinsic values are save haven. Not bonds or cash, because it's just an 'I owe you'. And the government can print monies. In my view save haven are stocks, because good stock has real production facilities that create value added and profits. Government can print monies, but it can not print gold and good stocks. In turbulent times like in 2008, stock plummet, but stock come back very fast. Any one who invest in SP500 in 2008 is very happy now. Correct me if I'm wrong....peace