Biden’s Brawndo (The Economic Mutilator)! Fed Paid Treasury $76 Billion In 2022, $200 Million Every Day, Bank Willingness To Lend Crashes, Bank Credit Falls For 16th Straight Week, Biden Enacts War Powers To Get Households To Use Inefficent Electric Heat Pumps

by confoundedinterest17 Biden’s terrible economic policies and horrid fiscal managment has put stress on The Federal Reserve. The Federal Reserve paid an estimated $76 billion to the Treasury in 2022 while banks’ willingness to lend has plummeted. First, let’s look at Biden’s and The Fed’s Brawndo. One of the key ways central banks absorb liquidity back out of …

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WSJ – Where Have All the Foreign Buyers Gone for U.S. Treasury Debt?

Overseas private investors and central banks now own about 30% of all outstanding U.S. government debt, down from roughly 43% a decade ago Chart of foreign flows of US Treasuries over time: https://i.imgur.com/sPYl8E5.png Foreigners no longer have an insatiable appetite for U.S. government debt. That’s bad news for Washington. The U.S. Treasury market is in the …

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Unstable U.S. Treasury Market Experiences Its Worst Day in the Last Six Months

via naturalnews: The U.S. Treasury market has been awfully shaky for quite a while but it had its worst day in six months on Thursday, November 9, as measured by the performance of the Bloomberg Treasury Index. A disastrous auction of 30-year Treasury bonds sent long-maturity yields soaring as investors demanded additional compensation for funding a ballooning fiscal deficit. …

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The UK Treasury to Provide £170 Billion to Offset Bank of England’s Bond-Buying Scheme Losses Over the Decade.

via thetimes.co.uk: The government is to hand over £170 billion to the Bank of England to cover losses on its bond-buying scheme over the next decade, new analysis by the central bank suggests. Losses on the Bank’s quantitative easing (QE) programme, which are backstopped by the Treasury, are forecast to rise significantly as it sells …

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Former Treasury Secretary Summers says the quiet part out loud: IRS must collect more taxes

Former Treasury Secretary Larry Summers believes that the current federal budget deficit poses a greater challenge for the economy than it has before in U.S. history. Summers said Tuesday during an event staged by the Center for American Progress, a Democratic Party-aligned think tank, that the U.S. budget deficit, which came in at $1.7 trillion …

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We need a VIX for the treasury market!

We need a VIX for the treasury market! — BankerG (@BankerG2) October 25, 2023 Remember when Bernanke said the Federal Reserve putting "assets" on its balance sheet wasn't monetizing debt because it was temporary? That was 15 years ago. pic.twitter.com/YLE9vV6JJm — Darth Powell (@VladTheInflator) October 24, 2023 A few people are finally noticing the risks …

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Fire! Biden And Fed Lit A Fire The Is Burning Out Of Control, US Treasury 10Y Yield Climbs Past 5%, Real 10Y Yield At 2.46%, Mortgage Rates At 7.63% (Highest Since 2000)

by confoundedinterest17 Fire! Yes, Biden and Congress created a fire with it reckless Federal spending leading in 40-year highs inflation, prompting The Fed to counterattack with rapid rate hikes. We now see the 10-year Treasury yield passing 5%. And the REAL 10-year Treasury yield passing 2.46%. And Freddie Mac’s 30-year mortgage rate survey is at 7.63%, …

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Losses in Treasury bonds will far worse than mortgage losses in 2008. Banks in shambles.

Fun fact: bank credit is now contracting! Since dollar standard (‘71), that’s only happened once before: 2008. Losses in T bonds will far worse than mortgage losses. Stocks are on the verge of a massive collapse. Fractional banking does’t work in reverse. Few. pic.twitter.com/0fzX16lYGn — Porter Stansberry (@porterstansb) October 15, 2023 Banks losses on held …

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The U.S. is dealing with rising Treasury yields and the risk of a credit crunch, China is facing a housing bubble burst, and Europe is on the edge of a recession and debt crisis.

If these problems in major economies collide, it could spell global financial disaster soon, and it feels like we need some urgent solutions, but we’re not getting them. On top of that, the recent Treasury bond auction didn’t go so well, which adds to worries about the U.S. debt piling up and how Wall Street …

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Fear The Talking Fed! 10Y Treasury Yield Subsides As Fed Presidents Speak While Hamas Terrorizes Israel (Fed Halting Rate Increases OR Flight To Safety?)

by confoundedinterest17 Like President Biden enjoying a barbeque at The White House with a live band (probably NOT Justin Moore singing “Small Town USA”) while Hamas declared war on Israel and Americans are being held hostage with the promise of public executions of hostages livestreamed. Nothing that “Empathy Joe” does ever surprises me anymore, but I …

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The current and ongoing collapse in Treasury bonds now ranks among the worst market crashes in history – the quiet but deadly financial crash

The public focuses on the stock market but this bond market is much more important to the economy. There are major consequences for all the banks who hold Treasury Bonds. The level of unrealized losses has probably gone through the roof and possibly hundreds of banks are technically insolvent if they had to mark their …

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30y treasury yield hits 5%; Mortgage rates just hit 8%

Student loan payments start again this month, and mortgage rates just hit 8%. My company is usually a little high, even Rocket Mortgage is showing 7.846% with 2.25 points. Not fear mongering, but its gonna be a “winter of death”. Biden got it right, but was talking about the market, not the COVID. h/t Mediocre-Bits

Ed Yardeni believes that the sell-off in Treasury bonds reflects widespread worry about the United States’ fiscal policy, particularly the growing federal budget deficits.

Everyone’s waiting to discover the level at which yields spur financial instability. From @kitjuckes this morning: “For now, the FX market is a bystander, watching Treasuries and waiting for them to break something.” — Lisa Abramowicz (@lisaabramowicz1) October 3, 2023 via Bloomberg: The slide in Treasuries has been excessive given recent economic data and Federal …

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Saudi Arabia has significantly reduced its US Treasury holdings, dropping 41% from $184 billion in February 2020 to $108 billion, while China’s holdings reached a 14-year low of $835 billion.

While China has been offloading US Treasuries for 10+ years, the rate has accelerated. Both Canada and Mexico also now account for a higher % of US imports than China. It seems like the trade war is back. Follow us @KobeissiLetter for real time analysis as this develops. pic.twitter.com/paivr3aYSS — The Kobeissi Letter (@KobeissiLetter) September …

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Fed Warns of “Financial Stability Vulnerability Due to Leveraged Treasury Short Positions

via Mike Shedlock: Hedge funds and asset managers are in opposite camps, with leverage, posing risk of an accident. Hedge Fund Basis Trade ‘Probably’ Back and Posing Risk Bloomberg reports Hedge Fund Basis Trade ‘Probably’ Back and Posing Risk, Fed Says Hedge funds have “probably” increased their positions in highly leveraged Treasury basis trades, posing a …

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U.S. Department of the Treasury, IRS Release Proposed Regulations on Sales and Exchanges of Digital Assets by Brokers. OPEN for comment!

by Dismal-Jellyfish Source: https://public-inspection.federalregister.gov/2023-17565.pdf How to comment: www.regulations.gov (use IRS and REG-122793-19 to identify your submission) 60 days is October 28th, 2023 60 days is October 28th, 2023 Press Release: The U.S. Department of the Treasury (Treasury Department) and the Internal Revenue Service (IRS) today released proposed regulations on the sale and exchange of digital assets by …

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Treasury yields reach highest since 2007; Liquidity issues in Treasuries; Investors demand higher compensation for US government debts and elsewhere.

Treasury Yields Reach Highest Since 2007 Amid Elevated Rate Fears: Rising Real Yields Reflect Firmer Economy and Higher Deficits; 10-Year Yield Surpasses 4.34%, Marking Highest Level Since Financial Crisis The US bond-market selloff resumed Monday, driving 10-year yields to a 16-year high, as the persistently resilient economy has investors positioning for interest rates to remain …

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10-year Treasury yield briefly rose above 4.31%, the most since the 2007-2008 global financial crisis, and the 30-year rate at 12 years high

by Ok_Significance_4008 I asked Bard and that’s what it said: A rising 10-year Treasury yield can have a number of implications for stocks. First, it can make it more expensive for companies to borrow money, which can weigh on their earnings. Second, it can make stocks less attractive to investors who are looking for income, …

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Global Treasury Yield Hits 15-Year High, Back To 2008 Despite No Change In Industrial Production (REAL 10Y Yield Now Highest Since 2009, Approaching 2%)

by confoundedinterest17 This is very strange. Global Treasury Yields just rose to a 15-year high (2008). This is primarily due to Central Bank moneta And REAL 10-year Treasury yields also the highest since 2009. At the same time, US industrial production is at the same level as pre-financial crisis (2007). Despite Federal Reserve monetary stimulypto …

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