At $21 trillion, the U.S. national debt is not even a number anymore. It’s becoming abstract.
Investors thought the tech bust was horrible in March of 2000, or that the real estate bust was horrific in September of 2008, but when the day comes for bonds to peak in price, the largest bubble in modern history will pop.
There’s no political force on the planet, which will bring back government bailouts anytime soon. Times have definitely changed in the U.S., since 2008, in terms of how people view intervention from the central banks. Today the people won’t stand for another TARP program, for example.
President Trump is walking on a tight rope. He is making a huge bet, but he isn’t using his own money. Instead, he is risking ours.
It’s hard for anyone to admit failure, but what’s even worse than acknowledging failure, is not even knowing that you’re striding down the wrong path. By knowing you’re failing, you have a chance to change, but by staying in the dark, you’re doomed.
In the last major Dollar bear market, it crashed, top to bottom, by 40%. This brutal trading pattern for the USD in the early 2000’s brought us a 9-yr U.S. equities sideways market, a roaring commodities bull market, and one epic, colossal real estate bubble.