The whole system is a house of cards. Debt that cannot ever be repaid? It will fail eventually. "When all else fails "THEY" take you to war, Gerald Celente. We left "normal" a way's back in more ways than one and it will never return. With the current geopolitical situation everything could change at the drop of a hat.
We are trading counting coup in FRNs. SA just said they will trade oil in other than dollars, then there is the budget limit TBD if it will be raised. Interesting times, What could go wrong? Stay away from crowds.
So interestingly, Paul Tudor Jones thought debt was going to kill the financial system back 1986. He still made money on the run-up and the crash. People have been calling for "the end" for years. It will eventually happen but not likely anytime soon with the current market momentum -- and look at high yield bonds!
Do you have a chart to post for this? I realize it hadn't completed yet, but I would like to look at what you were seeing.
Noted. The definition of a winning trade is going in the direction of the herd. I have a fascination with seeing when the herd changes their mind.
Even if the US defaults, it would not be "the end". They'll just print more money, or simply devalue USD (inflation = deleveraging). Just think of it this way. The big boys are setting up a bull trap by letting the market run up until enough of the dumb money is caught in their net. Then the market will ultimately tank and the process will repeat again. (Call me crazy, but I'm pretty sure Powell and Wall Street are colluding. )
In a bull market, I’d agree, but patterns in whipsaw bear markets are flipped on their head…If you believe a 20 VIX in this environment is going to provide enough fuel to power this thing thru the sloping downtrend line, then you’ll be proven correct…I think they’ve probably flipped enough bears with this beginning of the year rally