Gubmint (38% of GDP) Cheese

Proponent of free markets, price discovery & opportunities. Despise Central Banks

[Aria Radnia 🇮🇷 @ariaradnia]

Whoever made this video is a comedic genius

[Gubmint (38% of GDP) Cheese @cheese_gubmint]

@dailydirtnap Shut the fuck up

[ʎllǝuuop ʇuǝɹq @donnelly_brent]

2024: Key Square Group LP founder Scott Bessent, a prominent Donald Trump fundraiser, sharply criticized Treasury Secretary Janet Yellen, accusing her of changing the the cadence of the composition of the Treasury issue to bolster President Joe Biden by juicing the economy ahead of the election.

2026: Bessent announces plan to buy more long bonds in a program that starts early September and ends one day before midterms.

Symmetry.

[Dougie Kass @DougKass]

@tomkeene @guyadami @cnbc @business

[Gubmint (38% of GDP) Cheese @cheese_gubmint]

@JG_Nuke @StealthQE4 Have to stuff the plebs bags to get cover for the bailout. Right on schedule gentlemen

[Gubmint (38% of GDP) Cheese @cheese_gubmint]

@DowdEdward Why do people follow him?

[Gubmint (38% of GDP) Cheese @cheese_gubmint]

@Geiger_Capital He is the best bot on X

[Gubmint (38% of GDP) Cheese @cheese_gubmint]

@Myrmikan Nothing like a good bailout orgy. Weeeeeee

[Gubmint (38% of GDP) Cheese @cheese_gubmint]

@Kalshi 🤣

[Don Johnson @DonMiami3]

Follow the bonds

[Gubmint (38% of GDP) Cheese @cheese_gubmint]

@JohnLeePettim13 Happy 4th, T-Boy!

[Gubmint (38% of GDP) Cheese @cheese_gubmint]

@JG_Nuke Just for you JG.....🤣
https://t.co/dclfAR87CE

[Christopher Bloomstran @ChrisBloomstran]

I’m $9.4 billion underwater on my Bitcoin. My stock crashed 80% so far. I lied about never selling my Bitcoin, which I’ve been doing, and booking losses, since June. My software is so terrible. My quarter was a disaster. You know what I’ll do? I’ll sing about it. Genius strategy.

[foley (follard) @follard]

I went to Dartmouth. It costs roughly $60,000 a year all in. I now build homes for a living. They cost roughly $350,000 to build.

Both of these numbers are completely insane. And they are insane for the exact same reason.

The moment the government guarantees a loan, the seller stops caring what the buyer can actually afford. College tuition exploded after the federal government started backing student loans with no underwriting and no discharge in bankruptcy. Home prices exploded after Fannie Mae and Freddie Mac started buying mortgages and removing risk from lenders.

When a bank knows it will get paid no matter what, it will lend to anyone. When the bank will lend to anyone, the seller raises the price. When the seller raises the price, the buyer just borrows more. Nobody feels the pain until the bill comes due 10 or 30 years later.

Colleges added $200 million rec centers and hired thousands of administrators because students were writing checks with money that didn't feel real. Home sellers listed at $500k because they knew the bank would approve it regardless of whether the buyer could sustain the payment.

I benefited from both systems. My Dartmouth degree opened doors. The homes I build get financed by these same banks. I am not pretending to be above it.

But I look at both industries from the inside and tell you they run on the same engine. A guaranteed loan that disconnects the buyer from the real cost of what they are purchasing. The university and the mortgage lender have the same business model. They are financing tools that happen to have a campus or a front door.

If the government removed the guarantee from the student loans tomorrow, tuition would drop 40% within five years. If Fannie and Freddie disappeared, home prices would correct in the same direction. The prices are essentially fake. They are a reflection of how much debt a bank is willing to issue, not how much the product is intrinsically worth.

I say this as someone who went to an expensive school and builds homes. Both systems are broken in the exact same way and nobody talks about it because too many people profit from the status quo.

[Gubmint (38% of GDP) Cheese @cheese_gubmint]

@follard Spot on! 🎯

[Gubmint (38% of GDP) Cheese @cheese_gubmint]

@DrJStrategy Right, now it just costs $100k for a select few to front run the markets. Bravo 👏

[Josh Hawley @HawleyMO]

The marriage between AI industry and these mega-corporations is one of the biggest scams in American history.

Who is it targeting?

Every working American

[Hedgie @HedgieMarkets]

🦔David Dayen at The American Prospect just spelled out how the AI bailout is already built. Private equity firms like Apollo and KKR bought up life insurers over the last five years. Then they stuffed those insurers with risky loans to AI data centers and AI software companies. If one of those insurers goes under, state guaranty funds pay the policyholders, then bill other insurers to cover the loss, and in 44 states those insurers get a tax credit for what they paid. So the taxpayer eats it, and Congress never has to vote.

My Take
I've had this queasy feeling for months that the AI bailout mechanism was already there, ready to fire. This looks like it. Private equity built a machine that collects management fees off captive life insurer money, dumps the sketchy loans onto the insurer's balance sheet, and if the whole thing blows up, the state pays the policyholders and hands the other insurers a tax credit while the parent firm walks. That's how the plumbing already runs.

Situational Awareness blew up last week, but that was one hedge fund and the damage stayed contained. If Apollo or KKR's insurance arm hits trouble because their AI data center loans go bad, we get 50 simultaneous state-level bailouts and Congress doesn't have to vote on any of it. I don't know if we'll get there. I do know the industry built the escape hatch before the fire started, and that usually means somebody expected the fire.

Hedgie🤗

https://t.co/m02b7HEjRB

[Emerald Robinson ✝️ @EmeraldRobinson]

Just got a call.

The White House is promising blanket pardons to everyone inside Trump Admin at the end of the term.

That's why they have "paused" the Biden auto-pen investigation.

They're hoping Democrats will honor the pardons.

Yes, it's true.

[JP Sears @AwakenWithJP]

If we're naming things based on accuracy, unfortunately this is it.