yet another Republican fiscal discipline poseur
Bessent is pushing on a string and weakening the USD
"You can't fight the Fed"
https://www.nbcnews.com/business/mar...ces-rcna593517Bond yields jumped Thursday, erasing the declines stemming from of the Treasury Department’s unusual intervention in the debt market a day earlier.
https://www.cnbc.com/2026/08/20/bess...cit-trump.htmlBessent says there’s a ‘very good chance’ U.S. budget deficit under Trump has peaked
Treasury Secretary Scott Bessent said Thursday there’s a “very good chance” that the U.S. budget deficit under President Donald Trump has likely peaked.
“We are going to be laser focused,” Bessent told CNBC’s Sara Eisen in an exclusive interview a day after his department’s extraordinary debt buyback announcement.
The monthly U.S. budget deficit topped $432 billion in July, its highest level in more than half of a decade, the Treasury Department said last week. That monthly report showed the gap for the fiscal year to date climbed to almost $1.8 trillion, above where it was at the same point a year earlier.
The Treasury Department announced this week that the U.S. government debt pile to fund those deficits hit a new record above $40 trillion. The total has more than doubled over the last decade, exacerbating concerns about the country’s financial health.
...
ROFL
no ing way
https://www.bloomberg.com/news/artic...-bond-buybacksJPMORGAN: ".. Absent real fiscal consolidation, we fear the markets will view this action as lacking credibility. .. This could contribute to higher term premium and yields over time should Treasury become more opportunistic .."
Dow Jones Industrial Average Index
52,759.21
USD▼ -703.84 (-1.32%) today
August 20, 5:10 PM EDT · Market Closed
https://thehill.com/homenews/adminis...nal-debt-plan/Vance: Bessent has ‘very discreet plan’ to shrink $40 trillion national debt
Vice President Vance said Thursday night that Treasury Secretary Scott Bessent has a “very discreet plan” to shrink the nation’s debt.
“He [Bessent] has had a very discreet plan, of course, supported by the president of the United States, to get the United States to a point where our economy is growing faster than our debt,” Vance said on Newsmax’s “Carl Higbie Frontline.”
“And if you look, we are on track. So, even though the debt is too high, even though we inherited this debt bomb from the Biden administration, we actually do have a plan to get the economy growing faster than the debt and that’s the most important thing,” the vice president added.
On Thursday, Bessent claimed the U.S. can “grow” its way out of the national debt, which hit $40 trillion on Wednesday.
“There’s nothing magic about the $40 trillion number, and we can grow our way out of that,” Bessent told “Squawk on the Street” co-host Sara Eisen on CNBC.
“But what we do want to signal is I think there’s been a lot of misinformation in terms of what’s going on with the deficit, what’s going on with the deficit to GDP,” he added.
Bessent said that a temporary aspect of the debt comes from tariff refunds ordered by the Supreme Court in a February ruling against emergency tariffs from President Trump.
...
blaming Biden 558 days in is lame
Trump's not all there
ing OBAMA!!!!
These in prices!
and that Hunter Biden criminal profiting off his crime famileeeee!!!!!
ignoring the fiscal problem while manipulating the market signal (interest rates)
’ www.citadelsecurities.com/news-and-ins...CITADEL: ‘This amounts to financial repression at the margin…policymakers attempting to suppress the market signal rather than resolve the underlying contradiction of procyclical easing in the middle of a generational capex cycle at full employment.
credibility appears to be abandoning the Trump administration at full speed
https://adamtooze.substack.com/p/cha...ury-v-fed-2026The most likely outcome is that there is no regime shift, but that the Treasury loses credibility, a “MAGA premium” further raises borrowing costs, increasing the deficit and thus compounding pressures in the bond market.
As Lisa Shalett, chief investment officer of Morgan Stanley Wealth Management, put it to the FT
intervening in the Treasury market “because you’re cranky” about rising yields “is not a compelling argument and smacks of whimsy”. “And you don’t want an unpredictable, whimsical Treasury”
The choice of words here is telling. The question is not whether Trump’s Treasury is a mighty historical force on the cusp of changing the financial regime and inaugurating a new era of financial repression. To speak in those terms is to engage in Fin-Fi melodrama. The problem is that under Bessent’s stewardship the Treasury is “cranky”, “unpredictable” and “whimsical”.
https://www.cnbc.com/2026/08/26/mort...d-further.htmlMortgage rates hit highest level in 3 weeks, weakening demand further
Mortgage interest rates moved even higher last week, causing demand for loans to weaken yet again.
Total mortgage application volume dropped 1% from the previous week, according to the Mortgage Bankers Association’s seasonally adjusted index.
The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances of up to $832,750 increased last week to 6.78% from 6.77% the prior week, with points rising to 0.66 from 0.65, including the origination fee, for loans with a 20% down payment. That is the highest level in three weeks.
Applications to refinance a home loan, which are most sensitive to weekly rate moves, fell 2% for the week. They were 17% lower than the same week one year ago, when rates were 9 basis points lower.
...
Secret plan? Hopefully they aren't stupid enough to revalue the gold in fort Knox (currently on the books at $42 an ounce) If they revalued to $4000 it would flood the money supply goosing the economy but ultimately devalueing the dollar and cause serious inflation
You can rely on the Trump administration to always select the stupidest short term "solution" to a problem possible, which will just make the problem worse.
Just in case I have recently taken positions in several speculative junior gold miners.
Republicans run up the deficit by cutting taxes and starting dumb wars, then demand Democrats clean up their messes when they lose power
We're running a 50% annual deficit of $2.2T. Taxing the wealthy would have been enough if we hadn't cut top tax brackets in 2002, 2017, and 2025. We're now at a point where even a 90% top bracket and a 25% capital gains would likely get us to just better than treading water.
https://www.cnbc.com/2026/09/04/worl...-holdings.htmlWorld’s biggest sovereign wealth fund plans to cut U.S. Treasury holdings
Norway’s sovereign wealth fund has proposed cutting the allocation of government bonds in its $2.3 trillion investment portfolio, chiefly affecting its holdings of U.S. Treasurys, as it seeks to diversify its risk exposure and boost returns.
The heads of Norges Bank Investment Management wrote in a letter to the country’s Finance Ministry, made public Friday, that it recommended reducing the government subindex of its bond holdings from 70% to 50% — a level it said would provide sufficient liquidity during market turbulence while allowing it to seek greater returns elsewhere.
The proposed reallocation would gradually cut NBIM’s Treasury holdings from 34.1% to 21.9%, reduce its euro area holdings from 16.8% to 14.1%, and increase its share of Japanese government bonds to 7.4% from 4.6%.
NBIM also wants to begin weighting its government bond holdings by market value instead of gross domestic product because of the high debt loads of almost all developed economies,
...
Bessent is pushing on a string, wrecking US Treasury credibility
I'm gonna go ahead and answer the last question: No.Bessent is pushing on a string, wrecking US Treasury credibility
The market is like $30 trillion.
"I AM THE HOUSE"
the puny vaingloriousness of Trump 2.0 is exceeded only by its pants-shitting bravado and its stunning ignorance
There are currently 1 users browsing this thread. (0 members and 1 guests)
Posting Permissions
Reply With Quote
