@mochabear69420@KobeissiLetter Powell doesn’t set the long dated bonds genius. He can only set short term rates. He lowered rates in september and the 10 year rate went up. Markets set long term rates.
@hbigatti@PedroLulaMota Vamos so lembrar que ninguem deixa o dinheiro parado em dolar. Dolar é so moeda. Hoje, sem fazer força dá pra ganhar 4% a 5% ao ano em dolar. Se for um pouquinho mais sofisticado e paciente dá pra ganhar pelo menos uns 8%.
@PedroCerize Machiavelli ja dizia: I judge those princes capable of standing on their own who have an abundance of men or of money, so that they can put together a sufficient army and fight a battle in the field against anyone who comes to attack them.
@Monetaryguy589 Your point being that if these banks were to repatriate the net cash to their home markets it would put further pressure on the dollar?
@nntaleb But if the value added by China is so small than the absorption of the tariff increase on the end product isn’t that high that would make demand drop 50%. What am I missing?
@PeterSchiff@howardlutnick No he doesn’t think that. He thinks other countries impose significant restriction on US originated products coming into their markets and is using tariffs as a negotiating tool to force these countries to open up their markets to US product.
@MichaelAArouet Initial valuation of Google was very high and DPZ’s was very low. They converged to roughly the same multiple now so all the extra growth from Google was eaten up by multiple compression