1) US govt says: "The $864B deficit we ran in June is the new normal. That'll be the deficit EVERY mth from now on."
2) US Fed then says: "We will not allow 10y UST ylds > 60bps."
This is likely coming.
The world wants USDs? Fine...we'll MMT $10T per year of free stuff until the world adjusts the USD's value accordingly.
"INTC? Your turn. Here's $200B for you to build 10 new fabs in the US by 2023."
"Who's next? Students? We need you. College is now free, & we're forgiving $1.5T in loans."