SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Strategies & Market Trends : The Epic American Credit and Bond Bubble Laboratory

 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: mishedlo who wrote (36402)7/20/2005 3:49:23 PM
From: Umunhum  Read Replies (3) of 110194
 
It would immediately invert a portion of the yield curve most likely.

Either that or long term interest rates will go up. I am still waiting for your response to this:

You look at the current UNSUSTAINABLE path, realize it is unsustainable, yet project commodity prices out into the future as if it is sustainable.

Let's look ahead with your scenario. Do you think the Federal Government will take in more or less tax revenue with deflation? Do you think they will cut spending? Who is going to finance this growing deficit? How are we going to pay for the 11 million barrels per day of oil that we import? The only way the dollar could survive is if interest rates keep going up. If the dollar doesn't survive, what should you be holding? What if things just keep chugging along? Remember these things tend to last longer than anybody would believe. Then what should you hold?

I don't want to be argumentative. I've invested heavily into what I believe is going to unfold and I just don't see how your scenario can happen.
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext