- cross-posted to:
- news@lemmy.world
- cross-posted to:
- news@lemmy.world
Normally, investors rush into Treasurys at a whiff of economic chaos but now they are selling them as not even the lure of higher interest payments on the bonds is getting them to buy. The freak development has experts worried that big banks, funds and traders are losing faith in America as a good place to store their money.
“The fear is the U.S. is losing its standing as the safe haven,” said George Cipolloni, a fund manager at Penn Mutual Asset Management. “Our bond market is the biggest and most stable in the world, but when you add instability, bad things can happen.”
That could be bad news for consumers in need of a loan — and for President Donald Trump, who had hoped his tariff pause earlier this week would restore confidence in the markets.
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This is arguably bigger news than the stock market.
It definitely is. If bonds don’t sell, or at least no longer sell cheap, then the US might get bigger problems with their budget.
I sold some bonds 3 days ago. I just don’t trust this administration won’t default on something in the next 6 months. Or do something else to drop out AAA rating.
Yeah, I’ve been trying to figure out what to do rather than just holding cash (cause inflation is likely to go up). But bonds don’t feel safe, I think the best bet is looking to assets outside the US, but that’s exactly what this article is calling out, the US doesn’t feel safe anymore.
I’m debating precious metals or possible even Bitcoin since that’ll probably get pumped by the admin announcing the government buying it. Problem is they might try and sell off gold to do it which would probably drive down the price of that.
But I’m sure there won’t be any insider trading of those before it happens /s
Preventing this was originally what people thought was causing him to pause
This is by design. They want to destabilize the US. There is a lot of money and influence in it for them
Not if it collapses as fast as it looks like it will!
I guess I picked a bad time to stop huffing glue.
Johnny what can you make of this?
Oh come on, “Freak” sell off makes it sound like there’s some mystery as to what caused this when it’s blindingly obvious what the problem is here. The markets, and far more importantly all decent and rational people throughout the world, won’t and shouldn’t have any confidence in anything as long as Donald Trump is president. The only thing that starts to fix this mess is his resignation or impeachment (and that is only a start, investigations criminal charges and sentences amendments to laws etc. all need to happen too).
Not happening, so I’d plan accordingly.
The only thing that starts to fix this mess is his resignation or impeachment (and that is only a start, investigations criminal charges and sentences amendments to laws etc. all need to happen too).
Or removal by other means.
Nothing will meaningfully improve until the rich fear for their lives
Desperation is unlikely to produce meaningful improvements
We got powerful armed unions after the Ludlow massacre/10 day war, and workers rights/min wage/40hr work week after triangle factory fire and the ensuing riots.
Blacks got the right to vote after the death of MLK and the ensuing riots and organized violence of the Black Panthers.
It’s sad how suppressed our educations are in this police state of a country.
That’s the only thing that ever has
Why not?
It’s not really a “freak” event when the causes are blatantly clear and self-inflicted.
Just because we have chiselled abs and stunning features, it doesn’t mean that we too can’t not die in a freak gasoline fight accident.
I can heartily say as an American I have no faith whatsoever in this country and wish all the best in the world to the Canada-Europe-Japan conglomerate to be the only possible beacon of hope on the planet.
There’s a reason for that. Maybe if all those well-off bankers hadn’t thrown in with trump in hopes of deregulation their portfolios would still be slowly climbing up with the DJIA under a democrat instead of flopping around like a fish out of water under trump.
Why would anyone still have faith in this country?
When US policy can change in hours, based on the whims of a madman, it’s not exactly difficult to see why people lose faith in that stability. Investors want long term stability, and right now things are complete chaos.
Shoots market in the dick
“Don’t worry folks, all part of the plan”
Puts bandages on market
“There, good as new”
Ya think? This is the end of American Hegemony.
All it took was electing one spoiled rich asshole with an inferiority complex.
Also one of the dumbest motherfuckers, if not the absolute stupidest, to ever sit in government.
Excuse me we elected him twice.
But he didn’t happen by accident, he’s the result of mind-numbing, stubborn, continuous anti-intellectualism people have reveled in in their idiotic decadence for years now.
And hundreds of congresspeople to support his actions, and a previous string of spoiled rich assholes long enough to appoint a supermajority of spoiled rich assholes to your supreme court.
This shit-show has been a long time in the making.
God investors are dumb as shit
Investors are the problem?
I for one like stability when my money is involved, and most people do. Most arent looking for the roulette wheel experience. When you have an idiot wielding tremendous power to throw out trade agreements and to inadvertently or intentionally tank certain businesses and industries because they’re significantly affected by tariffs, and from one day to the next they’re added, removed, added again, increased, now decreased… that’s not a place you want your money. And the government’s where those businesses reside aren’t stable either as their future taxes and revenue streams are hard to predict, so their bonds are dicey.
So what do you think investors should do? So what are you doing? Just crossing your fingers and rolling the dice? Got any major purchases coming up? Hoping to retire soon? If you lost your job how secure you feeling about getting another right now? Maybe invest in $TRUMP… I’m sure that will carry you.
Yeah the idea that NOW is when they fear confidence in America is fading means they’re fucking morons. It should have been obvious after the first round of tariff bailouts in trumps first admin.
How’s the market for booze, bullets, and bread going?
Fading? Shit’s gone, dog.
They mean the rich fucks. Not me and you.
There’s a story floating around that Canada’s PM, Mark Carney, may have initiated this threat so that Trump would back off on his tariff escalation.
I saw this synopsis a little bit ago and I thought it was a pretty good short description
If that’s true that’s actually comforting, not only are there smart people building defenses, but they’re able to rein trump in.
Everyone is smarter than Donald. Even the people in his cabinet are morons.
