Unsustainable money printing can continue to keep the USA economy in ICU, but inflation will skyrocket and the US$ will continue to depreciate. We have seen the rate of depreciation of the US$ just over the last year and this is going to continue. albeit even faster. Do not be blindsided by the stock market skyrocketing, as that is where all the money printing has really gone into.
The real gauge of the economy is in job creation, business expansion and manufacturing growth. Job creation is in the dead zone; businesses are not expanding, just resorting to round tripping investments to give a semblance of expansion, and are instead laying off staff and company bankruptcies are escalating and trade deficit soaring. Even the tourism industry is facing a severe testing time. When tourists avoiding visits, hotels, food and beverage entities and entertainment sectors suffer. What has added to the problem is the action of Trump's ICE goons that have created a negative image in the minds of visitors. They just avoid the USA, as the world is wide enough to provide an easy alternative for a holiday.
Anonymous
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A 4% return on Treasury bonds is not enough to cover the loss in exchange by just holding them. Time for China to unload everything in its coffers. China has unloaded about half of its holdings, bought into gold and silver and stockpiling its oil in underground bunkers. China is prepared for what is coming.
Chinese regulators are now asking Chinese banks to sell off their US Treasury holdings and not to buy more.
When Xi meets Trump in Beijing in April, a date raised according to the USA side, Xi must be very careful in his talks with Trump as the latter will claim all kinds of deals when they are in fact nonexistent. Everything must be put on record to prevent Trump from taking advantage.
The modus operandi of Trump is to make fabricated claims that are shafted down the throats of the other side that have not agree to in the first place, and this creates pressure for the other party trying not to make a fool of Trump by denying and calling Trump a liar in his face.
India once again has fallen into a trap set by Trump. According to reports, Trump and Modi had a phone conversation and soon after Trump gloated about a deal between India and USA just like that. Trump posted on Truth Social that India had agreed to stop buying Russian oil in return for a reduction of tariffs from 50% to 18%. Other than that, Trump also claimed that Modi had agreed to buying another US$500 billions of USA goods and opening up its agricultural sector to USA imports. New Delhi had been silent on the latter two demands other than commenting on the tariff reduction. Even on the issue of buying less Russia oil, India did not specifically say that was the agreement.
We have seen Trump fabricating done deals with the Chinese in the past that turned out to be just paths for further negotiating, nothing more.
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