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Strategies & Market Trends : 2026 TeoTwawKi ... 2032 Darkest Interregnum
GLD 425.94+1.0%Jan 14 4:00 PM EST

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To: THE ANT who wrote (133327)4/25/2017 12:42:38 PM
From: Elroy Jetson  Read Replies (2) of 219358
 
As I said, the Fed holds their portfolio of bonds to maturity through currency swaps. - This gets the bonds off their books while not actually selling them.

The Fed tried to pressure Congress to deficit spend more all during Obama's Presidency but the Tea Party and Republicans said no. Today with Trump as President, the Tea Party still says no.

To get this sort of fiscal stimulus Trump will need to wise up and forget about the Tea Party and govern as a bipartisan President. But Trump has been especially slow to learn, being locked into his failed ideology.

But I don't think Paul Ryan, Rense Priebus and Mitch McConnell will ever be able to learn, so if and when Trump smartens up he still faces some big obstacles in the Republican Party which means he'll have to make proposals which appeal even more to Democrats.

But this is just theory. Trump may not wise up - but simply remain a failed President for the next 45 months, getting nothing in return for forever negotiating with the 27 Tea Party Congressmen.
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