@aloysius1271 @MorganStanley @TicTocTick @realwillmeade @CordovaTrades @koko_vivian @realDonaldTrump @federalreserve That used to be the Fed’s job. When it married @USTreasury & @Blackrock & became the #Fedsury, the new job is actually much more radical:
- create the conditions for the #NewDollar;
- launch the new dollar;
- reprice everything in the new dollar;
- get the 🌎 to buy this new $$
- create the conditions for the #NewDollar;
- launch the new dollar;
- reprice everything in the new dollar;
- get the 🌎 to buy this new $$
@aloysius1271 @MorganStanley @TicTocTick @realwillmeade @CordovaTrades @koko_vivian @realDonaldTrump @federalreserve @USTreasury @blackrock Buying up Treasuries & corporate debt & other financial instruments is exactly what one would expect from a bank that wants to *increase* the market’s reliance on the dollar.
Even though it inevitably (& very MATERIALLY) weakens the ... dollar.
federalreserve.gov/publications/f…
Even though it inevitably (& very MATERIALLY) weakens the ... dollar.
federalreserve.gov/publications/f…
@aloysius1271 @MorganStanley @TicTocTick @realwillmeade @CordovaTrades @koko_vivian @realDonaldTrump @federalreserve @USTreasury @blackrock The *only* way to reconcile these competing outcomes ( 1. even deeper penetration of the dollar into every nook of the global economy; 2. a weakening dollar caused by inflation) is ... a renomination process of some type, where, say 10 “old” 2020 $USD is worth 1 “new” 2021 dollar
@aloysius1271 @MorganStanley @TicTocTick @realwillmeade @CordovaTrades @koko_vivian @realDonaldTrump @federalreserve @USTreasury @blackrock The closest market analogy to this is a reverse stock split, where 20 shares are suddenly re-packaged into 1 (see $USO $TECS, etc).
So too with the $USD, as has been done by hundreds of governments all around the world.
Will the market buy this? ;)
So too with the $USD, as has been done by hundreds of governments all around the world.
Will the market buy this? ;)
@aloysius1271 @MorganStanley @TicTocTick @realwillmeade @CordovaTrades @koko_vivian @realDonaldTrump @federalreserve @USTreasury @blackrock The answer is: OF COURSE!
Especially when the “market” doesn’t have a choice, because the “renomination” (or whatever it goes on to be called) will be lightning fast — just like the 08-09 bailouts & the 2020 bailouts.
Because da $USD, of course, is 👏 too 👏 BIG 👏 to 👏 fail
Especially when the “market” doesn’t have a choice, because the “renomination” (or whatever it goes on to be called) will be lightning fast — just like the 08-09 bailouts & the 2020 bailouts.
Because da $USD, of course, is 👏 too 👏 BIG 👏 to 👏 fail
@aloysius1271 @MorganStanley @TicTocTick @realwillmeade @CordovaTrades @koko_vivian @realDonaldTrump @federalreserve @USTreasury @blackrock Another reason the “market” won’t really have a choice of whether to agree to a de-facto write-off of $30T of US debt is that market-makers like @blackrock have enormous institutional clout to push this.
Just like with any mundane reverse stock split.
Just like with any mundane reverse stock split.
@aloysius1271 @MorganStanley @TicTocTick @realwillmeade @CordovaTrades @koko_vivian @realDonaldTrump @federalreserve @USTreasury @blackrock Geopolitically, this means shafting China & other foreign govts & sovereign wealth funds that buy US Treasuries — Stephen Bannon’s wet dream.
Domestically/politically, that’s an easy “solution” to sell to increasingly nationalistic voters.
Moreover, ...
Domestically/politically, that’s an easy “solution” to sell to increasingly nationalistic voters.
Moreover, ...
@aloysius1271 @MorganStanley @TicTocTick @realwillmeade @CordovaTrades @koko_vivian @realDonaldTrump @federalreserve @USTreasury @blackrock US banks & the #Fedsury will bend over backwards to assure those bond holders who were previously holding TRILLIONS in #OldDollar-denominated instruments & which are now BILLIONS in #NewDollar terms that the new balances are actually *more* valuable than the old balances!
@aloysius1271 @MorganStanley @TicTocTick @realwillmeade @CordovaTrades @koko_vivian @realDonaldTrump @federalreserve @USTreasury @blackrock “When everything is priced in the #NewDollars ... ,” they’ll say in their roadshow presentations, “your absolute & relative buying power actually increases!”
“Just how much more you can now buy? Well, here’s a special site we created just for you on blackrock.com!”
“Just how much more you can now buy? Well, here’s a special site we created just for you on blackrock.com!”
@aloysius1271 @MorganStanley @TicTocTick @realwillmeade @CordovaTrades @koko_vivian @realDonaldTrump @federalreserve @USTreasury @blackrock And so, even at global scales, there’s just so much institutional path dependence & reliance on #WallStreet that pulling off this *seemingly* gargantuan coup is actually really straightforward.
Reverse 👏 stock 👏 split 👏 ...
... just for the $USD!
Reverse 👏 stock 👏 split 👏 ...
... just for the $USD!
@aloysius1271 @MorganStanley @TicTocTick @realwillmeade @CordovaTrades @koko_vivian @realDonaldTrump @federalreserve @USTreasury @blackrock And so just like ordinary reverse splits & adjustments when folks log in one day & see balance X & the next day it’s balance Y, so too with the behemoth @federalreserve book, which is the main reason the bankers just DGAF!
They know it’s Monopoly money & it’s time for new money
They know it’s Monopoly money & it’s time for new money
