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Strategies & Market Trends : The Residential Real Estate Crash Index

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To: Skeeter Bug who wrote (202980)5/19/2009 10:44:41 AM
From: Think4YourselfRead Replies (1) of 306849
 
re: debt slaves.

Have been thinking about that. We have been compounding debt for decades. Much of the Iraq war is being funded by debt. The stimulus is being funded by debt.

A watershed event recently occurred which is going to change the game the US has been playing for the past 25 years. I have mentioned it on a few occasions, and it's significance has been totally ignored by the media. In the last 6 months China has gone from being a buyer of treasuries to a seller of treasuries. They have, in effect, pulled our credit line.

The Fed's balance sheet is exploding, and it's going to get a lot worse. It's a positive feedback loop, so it's going to end very badly.
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