CNN, Bloomberg, CNBC Entertain Regime Propagandists Kudlow, Navarro In Sad Friday Spectacle
Predictably, Larry Kudlow and Peter Navarro were hastily dispatched to make the TV rounds on Friday morning on the heels of the strong June jobs report.
There was a time when the administration's efforts to argue for rate cuts while simultaneously singing the praises of the MAGA economy prompted indignant rejoinders from those who saw the charade for exactly what it was: An almost textbook case of authoritarian-style economic mismanagement, characterized by an insistence on rate cuts alongside
I wonder if Xi knows that he could control the coming US election. And, if so, will somehow fail to support Trump’s maneuvering such that it won’t quite come together in time??
By selling treasuries, right? Someone explain why China hasn’t started to do this? B/c it would lead to a full-on trade war that would hurt both countries (and the global economy) but undoubtedly would cost Xi his job (and freedom and maybe his head)?
nah. because it would risk triggering a global meltdown on par with what happened in late August 2015 (and continued, at various intervals, through February 2016). the risk-off mood/flight to safety would probably drive other people straight into Treasurys, thus offsetting the upward pressure on US borrowing costs. although China’s holdings recently dropped to a two-year low, there really isn’t anywhere else for them to park money. they can try to diversify to Euros, but there is no market as deep as the UST market. also, actively selling USTs would mean shooting themselves in the foot, as they would be putting selling pressure on something they still own a ton of.
Count on it.
I was thinking more along the lines of managing the ‘Tariffs’ and trade. Maybe letting the world’s economy sag just enough to ensure Trump’s defeat but enough support to Europe, Australia, South America to keep their hopes up and get them through to a post-Trump period??
I’m not sure it works like that…