During the shared meal last night we the boyz concluded that ...
(1) Universe as we know it being hard-forked / bifurcated / multi-furcated
(2) Galactic politics shall be Hong Kong-ed,
(3) Class warfare shall engulf the planet Earth,
(4) Sovereigns can no longer afford to allow interest rate to normalise because the ever increasing debt was built up as the total cost of debt was suppressed, and now, only one general way out (the specifics are just so much minutia)
(4-i) central banks keep buying, irrespective of first-issue or on secondary market, sovereign debt, which would be MMT-ed (spent by government on whatever)
(4-ii) until systemic zero-state reset, machinated default, jubilee, one way or another
(4-iii) whatever the minutia, letting interest rate normalise is unlikely to play a role unless time for (4-ii) to be tee-ed up
(5) Greeks are saved for the moment because they issued NIRP bonds even as they have difficulty paying back the earlier IOUs
(6) Best to figure out alt-finance studies covering the topic of Capital Asset Pricing Model under conditions of universal NIRP
(7) My biggest takeaway during the evening was realising the possibility that Greek bonds at slight NIRP may be an extremely good deal relative to what would be happily offered / enthusiastically bid in the future by other sovereigns
(7-i) iow, take the Greek offering of NIRP largess and be happy about the good fortune to have only a bit of ones goodies taken away
(7-ii) this would be a sort of history in reverse, and the winner is the one who traverses the reversal at slowest speed, and never arrive at point of destined arrival
(7-iii) I did not learn NIRP in school; must have skipped out that lecture day to goof-off
(8) As noted earlier, team China has capability / capacity for US$ 250 Trillion of QE/MMT under non-emergency circumstances Message 30231862 , and should be okay for awhile, to hope to match team Mexico infrastructure stock
(9) The trump may be correct, that team USA needs to get on with it, it being infrastructure rejuvenation. The electorates should get check books ready, or enthusiastically tolerate state-sponsored directed investment programs that skip the inconvenience of balloting and go straight from the printing press at control of selected Fed officials and appointed Treasury officials, that what we term part of deep-state |
