But there is a limit to how much debt can be taken on, and I am sure we are past the point of no return. The interest expense is too expensive, and when you drop rates, you naturally weaken the currency, which for sure helps the world in general, but not the individual holding the currency and the debt. I am sure that before this decade is over, a new system will have emerged, and the debt based system will be retired.
The Canada border plan was announced on DECEMBER 18. No deals. Performative BS yet again. A deal was already in effect under Biden. Nothing new was offered other than mention of a border czar.
Why, what makes you believe that? Personally I will only believe it when Republicans make efforts to lower the debt. In my generation only Clinton and Obama did.
The debt will never go down. It can only be managed by the ability to service the debt and keep the debt to GDP ratio at a healthy level. Luke Gromman talks about this quite a bit, and the only way out is an inflationary spike that greatly increases GDP. The whole idea behind a debt based system cannot work forever, it has limits, and we are at that limit now. The debt cannot be serviced at these interest rates, and dropping rates now has its own problems. Put simply, the numbers are just too big to manage now. So the only course of action is to transition to a new system.
A quick breakdown of Beijing's countermeasures If you're just catching up on the news that China has slapped counter tariffs on US goods, here's a quick look at the measures Beijing has imposed on some imports: A 15% tariff on coal and liquefied natural gas A 10% tax on crude oil, agricultural machinery, pickup trucks and large-engine cars Announced an anti-monopoly investigation into Google Placed export controls on 25 types of rare metal products Adding PVH Corp, the holding company for Calvin Klein and other brands, and US biotechnology company Illumina to its "unreliable entities" list ______________________________________________ The news was out when President Trump was asleep. Who knows, he might wake up and send a very powerful twitt Excellent US & China/Hongkong index futures day trading opportunities a few hours ago. OP's wish has been granted.
Canada agreed to these policies many weeks ago. As many reporters have stated since, it was impossible to meet Trump's requirements because nobody knew what exactly he wanted. I doubt the man himself knew what he wanted. He engineered a trade crisis based on bs with this border nonsense an excuse to do so. There was no border issue in Canada that was meaningful to anyone. And you bought it hook, line, and sinker. Trump likely never expected markets to drop immediately and he certainly wasn't ready for the auto sector layoffs and higher gas prices that were a certainty within a week or two. The man is clueless about the economy much like you are.
The unfortunate aspect of dealing with Trump is everyone wastes money on things like a border czar to try to appease him. There is no drug control problem in Canada there might however be a lot of drug users in the US due to poverty rates. Somebody will supply and apparently 1% of it comes from Canada. The danger here is history illustrates for many that trying to appease Trump is fruitless and seriously the majority of us don't agree with Trudeau's approach.
Canada gave in. Face it. Quite living in a delusional world of pride. The only reason tariffs are suspended for now are because BOTH Canada and Mexico decided it was in their best interest to cooperate. They best NOT renege. Everybody that is informed knew very clearly what he wanted. Quit with that BS. If there were no border issue Canada would not have agreed to do something about it that will cost Canada $$$. I got news for you if you don't already know. Best make haste and get ready for negotiations on trade imbalances. They will be next. Thanks, Canada, for cooperating on USA's two plain, clear, and simple requests and hope you are as good as your word and hope you are ready to "deal" on trade imbalance.