Tag Archive for: government spending

Why Massive Government Borrowing Is Not Pushing Rates Higher Like EVERYONE Predicted

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The more the government borrows, the more it slows down economic growth. And the more it slows down economic growth, the more investors demand the “safety and liquidity” of Treasury Bonds. So, there will always be sufficient demand for our debt, without having to push yields higher.Read More

Why I Was So WRONG About Rates; Why It Matters So Much

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If you google “wrongness,” you’ll see a picture of me screaming “Rates will fall by March of ’23!” I am wrong a lot actually and am not afraid to admit it because it makes for great learning and blog fodder. For example, I was wrong about when rates will fall, and I was wrong when I said that the Fed would not raise rates again after its June pause.Read More

Biggest Increase in 3 Years; Unpredictability/Timing the Markets

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We are seeing the biggest rate increase in 3 years. Investors moved into stocks and out of bonds, and rates climbed. Trump’s promises to cut taxes, to increase government spending […]Read More