SOMETHING EVIL COMES THIS WAY
Christopher Green can be hyperbolic but I’d be paying attention
MASSIVE NEWS !!!!!!!!!! THIS IS TERRIBLE !!!!!!! WE DON’T HAVE MUCH TIME
See the signs
JPMorgan Chase, the largest US bank, will soon allow clients to buy bitcoin — despite CEO Jamie Dimon’s persistent criticism of the world’s largest cryptocurrency.
Dimon, 69, announced the major U-turn at the bank’s annual investor day on Monday, where speculation continued to swirl over the future of the veteran banker, who has been in the top job for nearly two decades.
“We are going to allow you to buy it,” Dimon told investors. “We’re not going to custody it. We’re going to put it in statements for clients.”
Ray Dalio sees the future. He said, "The US is going into a death spiral of debt." Few weeks later, Moody's downgraded the US credit score, citing the mounting government debt.
What Ray Dalio sees coming next is disastrous:
1/ Ray Dalio predicted that the US debt would reach unsustainable points. He thinks that the US debt has become so big that creditors now know that the US will never pay it. It'll either refinance it or inflate it away. Thus, they don't want to hold US debt anymore.
2/ This is going to create a demand shock to the US debt. As other countries dump the US debt, yields will rise, which will trigger inflation too because the treasury will have to print more money. This is exactly what death spiral of debt is.
3/ It has already started. The largest holders of the US government debt, China and Japan are dumping it at a rapid pace. Though the UK is picking up some of the dumped debt, it won't be enough keep yields under control. We have already started to see this effect on yields.
4/ US 30-year yields have climbed near 18-year highs. This is because investors now forecast a longer term term of elevated inflation. And it all goes back to the US debt again...
5/ The US has to refinance $9 trillion in debt this year. This comes at a time when the interest rates are still high and the Fed is quantitatively tightening. Knowing Fed's tightening, investors demand higher yields to buy and hold the US debt. This leads to a vicious cycle.
6/ There are just two ways for the US to sell this debt: - Either it offers higher yields. - Or Fed steps in and buy government debt. Both are inflationary. Knowing this, investors insist on high yields, which leads to inflationary scenarios. A vicious cycle...
7/ This may lead to one disastrous conclusion... Other countries may start seeing the USD as an inflationary asset and keep dumping the US debt... This risks USD's status as the reserve currency of the world. Ray Dalio calls this "breaking down of global monetary order":
8/ On top of that, Trump's tariffs are creating further inflationary pressure. This makes it impossible for yields to come down decisively, reinforcing the debt problem. Fed Chair warned that the tariffs may lead to a stagnation:
9/ There is only one way out of this... The US should first control inflation and then gradually reduce the deficit below 3% levels. Hear it from Dalio:
10/ What should investors do to protect themselves? - Reduce your exposure to fiat. - Increase your holdings in safe havens like gold. - Keep your equity portfolio diversified and balanced. States like China already started cut their debt holdings and grow their gold holdings.
TY 👍 for this very valuable information.
The elites are NOT WORRIED...they will be fine...you goy not so much. How ? Its been clear for some time how the US debt will be repudiated...
War with China will trigger all those clause about wartime loss and the elites can safely walk away... War with China is a vertual guarrent of US defeat militarily but the elites care not...