@MeidasTouch Haha 🤣 I love the .. you are not the same person we out in office comment. Yes he is… we all tried to warn you all. Look at his track record yeeaaarrss before vote into office.
🚨 The U.S. Bond Market Is Under Attack From Both Sides: Washington and Silicon Valley
$2 Trillion Deficit + $194 Billion Tech Bonds = The Perfect Setup for a Liquidity Crisis.
Amazon, Google (Alphabet), Meta and Oracle have flooded the market with roughly $194 BILLION of new corporate bonds in the last 4 months, almost double last year’s total. These are long-term investment-grade bonds they’re selling to raise cash for the massive AI data-center and chip buildout.
At the exact same time, the U.S. government is running a nearly $2 TRILLION deficit and dumping a short-to-medium term avalanche of Treasury notes onto the market.
Both sides are selling to the same limited group of big investors: pension funds, insurance companies, mutual funds, foreign central banks, and bond funds.
There is only so much capital these buyers can deploy. When two massive sellers hit the market at once, that finite pile of money gets stretched thin.
The result? Demand is collapsing.
Investors are no longer lining up to buy. Cover ratios for the Big Tech bonds have plunged. Long-term yields are spiking. The bond market is showing clear signs of stress.
This has happened before.
In Sept 2019 the repo market ran out of cash. Heavy Treasury issuance, tax payments, and prior Fed tightening drained reserves. Overnight rates spiked from ~2% to 10%. The Fed had to inject emergency liquidity.
Today, this is the classic setup for an AI bubble deflating under its own weight, a liquidity crunch as capital gets locked up in endless debt supply, and accelerating pressure on the U.S. dollar as the government and corporate America race to issue more paper than the system can comfortably absorb.
The only way to kick the can… print more dollar bills.
If the liquidity stops, the music stops.
@MeidasClips@MeidasTouch The administration just changed their economic tune from: It’s all great next quarter you’ll see. To, it would be worse if Kamala was president.. we are cooked hand on folks !!… 🎢
@denkmit Happy to see Joan get a better bike. Will see how 850’s play out and how solid Ducati does. Also makes me think about Fabio… will Fabio have the patient to wait for Honda or will 850 Hondas would be alright 🤨