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Azjetfan is the nyjetsfan #1 pick
MikeGangGree... Icon : (13 May 2015 - 09:59 PM) HEY
MikeGangGree... Icon : (13 May 2015 - 09:59 PM) HEY HEY HEY
HarlemHxC814 Icon : (13 May 2015 - 10:15 PM) HALA HENRIK
HarlemHxC814 Icon : (13 May 2015 - 10:15 PM) f*** OVECHKIN
HarlemHxC814 Icon : (13 May 2015 - 10:15 PM) HOLTBY SUCKS
HarlemHxC814 Icon : (13 May 2015 - 10:15 PM) FIRE RAUL
MikeGangGree... Icon : (13 May 2015 - 10:39 PM) Did you say Raul?
MikeGangGree... Icon : (13 May 2015 - 10:39 PM) https://youtu.be/7iy3nui-aaI
HarlemHxC814 Icon : (14 May 2015 - 05:12 AM) HENRIK OVER RAUL
Jetsfan0099 Icon : (14 May 2015 - 01:31 PM) Dolphins hired Terry Bradway lol
azjetfan Icon : (14 May 2015 - 02:20 PM) Why would the Dolphins do that? Didn't he prove his incompetence with us?
santana Icon : (14 May 2015 - 03:00 PM) well hes been with the jets for years he was in charge of college scouting
santana Icon : (14 May 2015 - 03:00 PM) jets just let him go this year
santana Icon : (14 May 2015 - 03:00 PM) so im sure he will take a similar role with the dolphins as well as provide them a lot of insight about the jets
Jetsman05 Icon : (14 May 2015 - 04:34 PM) the barca madrid fan
Jetsman05 Icon : (14 May 2015 - 04:34 PM) Morataaaa
NJAzrael71 Icon : (14 May 2015 - 06:52 PM) Looks like Mo is going to get at least 40M guaranteed on his new deal. Mac reiterated that the team has allocated the funds for him.
santana Icon : (14 May 2015 - 07:49 PM) Morataaaaaaaaa the bastard child sent away has come back!
azjetfan Icon : (15 May 2015 - 08:33 PM) Hellooooooo
azjetfan Icon : (15 May 2015 - 08:34 PM) As the number one pick I declare this day Azjetfan day
azjetfan Icon : (15 May 2015 - 09:10 PM) Nix that. Tomorrow
MikeGangGree... Icon : (16 May 2015 - 10:41 PM) So Santana your not ready to call it a career yet i see
santana Icon : (16 May 2015 - 10:43 PM) Santana could be on the bears
santana Icon : (16 May 2015 - 10:45 PM) Or better yet the patriots :D
santana Icon : (16 May 2015 - 10:45 PM) JIMMY G-SPOT
azjetfan Icon : (16 May 2015 - 11:05 PM) Santana could be the new ball boy for the Pats.
azjetfan Icon : (16 May 2015 - 11:05 PM) Since they fired the guys who are completely innocent
azjetfan Icon : (16 May 2015 - 11:06 PM) Santana can you deflate a bag of balls in under 90 seconds?
azjetfan Icon : (16 May 2015 - 11:11 PM) Colin Kaepernick is rumored to be back on the block. I wonder if his price has dropped.
santana Icon : (17 May 2015 - 03:45 PM) Eagles should get him
ganggreen2003 Icon : (19 May 2015 - 06:17 PM) What is the status in the contract with Mo?
azjetfan Icon : (19 May 2015 - 08:17 PM) He is under contract for this year and we have the option to franchise him next.
Mr_Jet Icon : (19 May 2015 - 10:32 PM) THE KNICKS!!!
Mr_Jet Icon : (19 May 2015 - 10:33 PM) at #4
HarlemHxC814 Icon : (20 May 2015 - 09:20 AM) BAN MR_JET
Mr_Jet Icon : (20 May 2015 - 11:58 AM) LOL. It's not where you pick, it's who you pick. Knicks fans should remember Russell Westbrook and Chris Paul were both #4 picks also.
RetireChrebet Icon : (20 May 2015 - 02:32 PM) Chan Gailey says Geno is the starter heading into the season. I believe Fitzpatrick is hurt and probably won't even make the roster due to injury otherwise Fitzpatrick should have got a fair shake.
Jetsfan115 Icon : (20 May 2015 - 03:08 PM) egno did look really good in that last game.
Jetsfan115 Icon : (20 May 2015 - 03:08 PM) he just makes too many dumb mistakes
Jetsfan0099 Icon : (20 May 2015 - 04:23 PM) No excuses for Geno, we have a very good team and its up to the QB to not screw it up
Jetsfan115 Icon : (20 May 2015 - 04:43 PM) lol go back to the color coded sanchez system rex had
azjetfan Icon : (20 May 2015 - 06:48 PM) RACIST!
MikeGangGree... Icon : (Yesterday, 11:50 AM) Sign Wilkerson damnit!!
azjetfan Icon : (Yesterday, 02:01 PM) They will. He isn't in any rush to get into a voluntary mini camp
azjetfan Icon : (Yesterday, 02:01 PM) They aren't pushing it either
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Get Ready For A 'massive Interest Rate Shock' Soon Bad news for the future economy.

#1 User is offline   azjetfan Icon

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Posted 27 August 2013 - 02:52 PM

http://www.cnbc.com/...0a%20%27massive

Long story short, get ready middle class and below. This one is going to hurt. Within a year or two middle class will not be able to afford to buy a house unless you already own one. Our debt is catching up with us.


Quote

Wall Street and Washington love to spread fables that facilitate feelings of bliss among the investing public.

For example, recall in 2005 when they inculcated to consumers the notion that home prices have never, and will never, fall on a national basis.

We all know how that story turned out.

Along with their belief that real estate prices couldn't fall, one of their favorite conciliatory mantras that still exists today. Namely, that foreign investors have no choice but to perpetually support the U.S. debt market at any price and at any yield.

But, unlike what their mantra claims, the latest data show weakening demand in overseas purchases of Treasurys.
Is the economy as good as you think?


According to the U.S. Treasury Department, there was a record $40.8 billion of net foreign selling of Treasurys in June. That was the fifth straight month of outflows in long-term U.S. securities. China and Japan accounted for $40 billion of those net Treasury sales.

Those two nations are important because China is our largest foreign creditor ($1.27 trillion), and Japan is close with $1.08 trillion in holdings.

This shouldn't be a surprise to those who are able to accurately assess the ramifications from the Federal Reserve removing its massive bid for U.S. debt.

In truth, yields currently do not at all reflect the credit, currency or inflation risks associated with owning Treasurys.

If the Fed were not buying $45 billion each month of our government bonds, investors both foreign and domestic would require a much higher rate of return. Investors have to be concerned about the record $17 trillion government debt (107 percent of gross domestic product), which is growing $750 billion this year alone.

In addition, holders of U.S. debt must discount the inflation potential associated with a record $3.6 trillion Fed balance sheet, which is still growing at $85 billion each month. Also, foreign investors have to factor into their calculation the potential wealth-destroying effects of owning debt backed by a weakening U.S. dollar.


Of course, some people may claim that Japan has more debt outstanding as a percentage of its GDP than we do and yet the nation's interest rates are much lower than ours...so what's the problem?

But, unlike the U.S., Japan has a long history of deflation and only 10 percent of its debt is in foreign hands. The U.S. has not enjoyed any such history of deflation and is also a country that has only 50 percent of its debt held domestically.

Therefore, there hasn't been any real concern about foreigners abandoning the Japanese bond market because of a fear that the Yen may collapse.

But the tremendous number of foreign U.S. creditors needs to be constantly vigilant of the dollar's value. However, due to its foolish embracement of Abenomics, Japan will also have to fear a collapse of its debt market from rising inflation in the near future, just as we do here.


If the free market were allowed to set interest rates and not held down by the promise of endless Fed manipulation, borrowing costs would be close to 7 percent on the 10-year note. Let's face it, the only reason why anyone would loan money to the U.S. government at these levels is because of a belief that our central bank would be there to consistently push prices up and yields down after their purchases were made.

Our central bank has now adopted an entirely new paradigm.

Fed intervention used to be about small changes in the overnight interbank lending rate, which has averaged well above 5 percent for decades. However, not only has the Fed funds rate been near zero percent for the last five years, but also long term rates have been pushed lower by four iterations of quantitative easing.

The latest version is record setting, open-ended and massive in nature.

Since QE is mostly about lowering long-term rates, it shouldn't be hard to understand that its tapering would send rates soaring on the long end.


When the Fed stops buying Treasurys, foreign and domestic investors will do so as well. This means for a period of time there won't be anyone left to buy Treasurys unless prices first plunge.

The effects of rising rates will be profound on currencies, equity prices, real estate values and economies across the globe.

It would be wise to prepare your portfolio for a massive interest rate shock in the near future.

—Michael Pento is an economist and president of Pento Portfolio Strategies.

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