• "Spreading the ideas of freedom loving people on matters regarding metals, finance, politics, government and many other topics"

The Lunatic Fringe - Trading talk.

Uglytruth

Super Moderator
Sr Midas Sup +++
Survivor
Mother Lode
Joined
Apr 6, 2011
Messages
21,698
Reaction score
53,385
But during a crash, not everybody will fly to cash or withdrawal their funds.

$12.1 trillion

Mutual fund assets held in retirement accounts (IRAs and DC plan accounts, including 401(k) plans) were $12.1 trillion as of the end of June 2021, or 47 percent of overall mutual fund assets. Fund assets in 401(k) plans stood at $4.8 trillion, or 19 percent of total mutual fund assets as of June 30, 2021.Oct 11, 2021
 

Uglytruth

Super Moderator
Sr Midas Sup +++
Survivor
Mother Lode
Joined
Apr 6, 2011
Messages
21,698
Reaction score
53,385
Who is making money on all this turmoil in the markets? Is this a intraday pump and dump to generate profits?
 

Lancers32

You know...the thing
Site Supporter ++
Platinum Bling
Joined
May 10, 2020
Messages
5,921
Reaction score
8,335
Location
NC
Batter up.

giphy (1).gif
 

Tbonz

Gold Member
Gold Chaser
Site Supporter
Joined
Jan 28, 2012
Messages
3,029
Reaction score
4,189
Location
Land of the Free
Who is making money on all this turmoil in the markets? Is this a intraday pump and dump to generate profits?
This is an excellent question. The people that are getting out from under distressed assets are making money by selling them to the goober mint/FED. You can see it when the market tanks horribly, and then it makes a miraculous recovery.

They will let it tank 1 day, and then they will prop it up for a couple of days. Wash, rinse repeat. I haven't delved too deep into the sectors that are being pushed down to the point that they jump in, but I am sure that the esteemed members of this board would be able to I.D. them for us.
 

Uglytruth

Super Moderator
Sr Midas Sup +++
Survivor
Mother Lode
Joined
Apr 6, 2011
Messages
21,698
Reaction score
53,385
Do you think this is part of the you will own nothing and he happy?
They are either ruining the market to drive people out with viotility.
AND / OR are they using fake "money" to "buy everything: so you can't own anything?
It all seems so staged with 500 to 1000 point intraday swings.
Someone is making money both ways and the only way to do that is manipulate the market.
 

Uglytruth

Super Moderator
Sr Midas Sup +++
Survivor
Mother Lode
Joined
Apr 6, 2011
Messages
21,698
Reaction score
53,385
Was looking for an update on RSX and found this.


Investors Who Shorted Russia ETFs Are Now Stuck Paying Never-Ending Fees​

Elaine Chen
Tue, May 17, 2022, 8:03 AM·5 min read


9db3b17f97d2ad83674a50fe871f7ecd

(Bloomberg) -- Investors who bet against ETFs tracking Russian assets in the build up to the Ukraine invasion made the right call -- and they’ve been paying the price ever since.

Stocks linked to Russia plunged following the outbreak of war and subsequent economic punishment meted out to the country, vindicating bearish wagers. But sanctions also made trading Russian securities almost impossible, leaving short sellers unable to exit their positions.
The result? Investors who shorted -- sold borrowed shares with the intention of buying them back more cheaply before returning them -- are still borrowing, paying the associated fees indefinitely.
The short-selling world is notoriously opaque and dominated by institutions who rarely disclose their bets. But based on available data, technology and analytics firm S3 Partners estimates short sellers of Russia-focused exchange-traded funds have paid around $2.6 million in borrow fees since the products were halted in early March.
“Short sellers are in a position where they’re effectively halted or frozen right now,” said Jacob Rappaport, head of equities at trading house StoneX. “It’s a difficult position to be in when there’s no resolution in sight.”
Of course, all the investors in funds like the VanEck Russia ETF (ticker RSX) and the iShares MSCI Russia ETF (ERUS) are effectively stuck after U.S. exchanges halted trading and issuers ceased creating and redeeming shares because underlying assets had become untradable. But generally, most fees on the vehicles have been waived so holders aren’t bleeding cash.
Short sellers, on the other hand, are usually paying a daily market rate for the shares they borrowed. The average rate for the ETFs has jumped this year to about 16% from 1%, according to S3. And while short interest in the ETFs was decreasing before they stopped trading, over $96 million worth of shares in the funds remain on loan, according to S3.
Ian Bezek, a Colombia-based investor and financial writer, has a $10,800 short position on ERUS. The 33-year-old is now paying an annualized borrow rate hovering at around 60%.
“If the borrow fees were like 5% or 10%, then not a problem. But at 60%, it’s definitely a major aggravation,” he said. “I have no idea of when the situation will change. It’s very frustrating.”
There’s still no clarity about how or when the freeze on the ETFs will end, nor how it will be resolved. Moscow-listed stocks are trading again, but foreigners aren’t allowed to sell them. Meanwhile, Russian companies with depositary receipts listed overseas -- which several of the ETFs hold -- are being forced to delist them by a law that took effect last month.
One trader at a family office who is short RSX said he asked three prime brokers about how he’ll be able to cover and none of the brokers had answers. The trader, who asked not to be identified, said he also asked about obtaining shares over-the-counter, but brokers and market makers seem unwilling to conduct those transactions.
The short-selling headache looks like a first in the ETF industry. In previous dramas, when a market or group of assets has shuttered, the structure of ETFs has allowed them to keep trading. When the underlying assets restarted, often they fell in line with ETF pricing. It’s a measure of the turmoil that on this occasion, ETFs had to halt, too.
Read more: ETFs Finally Find a Crisis They Can’t Trade Through in Ukraine
The securities-lending market falls under the purview of the Securities and Exchange Commission, though it’s unclear whether regulators will get involved because no rules have been broken. An SEC spokesperson declined to comment.
RSX, the largest Russia-focused ETF, had an annualized borrow rate that hovered at 1% at the start of the year, according to S3. As Russia-Ukraine tensions intensified, the rate spiked above 20% before coming down slightly. The data from S3 captures the market rate, but rates can vary across brokers.
Short sellers aren’t the only group hit by these rising borrowing costs. Some put holders also tapped the securities lending market to find the shares to exercise their options -- and those who did are still paying.
Russell Edwards, a U.K.-based retail trader, managed to borrow 2,200 shares of RSX to exercise put options that expired in March. His brokerage requires him to pay borrow fees currently running at about 30%. It’s a minor drag on his tiny portfolio for now, but the 26-year-old has no idea how long it will last.
“If suddenly those shares cost a lot more to loan and it’s at 300% next day, I don’t really have any recourse to” help avoid the fees, he said. “I’m just kind of stuck waiting.”
In the fog of the invasion and sanctions, some holders and brokers have stopped making shares available to loan, according to Ihor Dusaniwsky, head of predictive analytics at S3. That, alongside the halt to new share creation by issuers, has capped the supply available to borrow, leading rates to rise, he said.
Being trapped in their bearish bets has also left borrowers facing the possibility that their winning wagers will be losers by the time they can get out. They need funds and stocks trading again to cover their positions, but that would likely only happen if the Russia-Ukraine war de-escalated and the outlook improved dramatically -- which could trigger a recovery in asset prices.
In such a scenario, “I wouldn’t be surprised if my short position ends up losing me a lot of money,” said Abraham Miller, a Seattle-based software engineer who is shorting ERUS.
 

Lancers32

You know...the thing
Site Supporter ++
Platinum Bling
Joined
May 10, 2020
Messages
5,921
Reaction score
8,335
Location
NC
Mayor Pete in his younger days running home to try out his new toy. Don't forget the lube son.

FTBWzEVWQAERAHG.jpg
 

dpong

Site Supporter
Gold Chaser
Site Supporter
Joined
Jan 11, 2012
Messages
3,475
Reaction score
4,325

Jodster

Always wrong
Silver Miner
Survivor
Joined
Apr 4, 2010
Messages
2,291
Reaction score
3,249

dpong

Site Supporter
Gold Chaser
Site Supporter
Joined
Jan 11, 2012
Messages
3,475
Reaction score
4,325
QT will collapse the economy much quicker than they think.
 

Tbonz

Gold Member
Gold Chaser
Site Supporter
Joined
Jan 28, 2012
Messages
3,029
Reaction score
4,189
Location
Land of the Free
Do you think this is part of the you will own nothing and he happy?
They are either ruining the market to drive people out with viotility.
AND / OR are they using fake "money" to "buy everything: so you can't own anything?
It all seems so staged with 500 to 1000 point intraday swings.
Someone is making money both ways and the only way to do that is manipulate the market.
I think this is an attempt to squeeze what little the middle class has saved up for their future retirements.

The market is ruined because of AI, Auto Trading, and pure greed.

Manufacturing left the United States because companies were being forced to improve their overall bottom lines, and a livable wage was getting in the way of that. So there goes the basis for our economy, our jobs are sent overseas or south of the border. Companies make more for their stockholders, and the blue collar workers that were able to provide for a family with a single income earner is now forced to have two parents working outside the home and the nuclear family is destroyed.

Of course the use of fake "money" to buy up assets that they will control when a final collapse occurs will put them in a position to dictate to the people, work for us or starve.

The intraday swings, drive me up the wall, as I am sure all of you can tell by me posting it every other day. It's sick, and it pisses me off to no end. The market manipulation is ridiculous, and IMHO it is criminal because to me it is organized theft. Push it down, panic sell, push it up and people start climbing in because their financial guru says it's just "volatility."

No its not just volatility, it is coordinated theft from the people that are just trying to get ahead in life. The people with 7,8,9,10 figure net worths aren't worried about what is going to happen in the long run they will still be in the top 5%.

In the end none of us escape with what we have accumulated in life, the only thing that we leave is a positive impact on the lives that we have been able to have a positive influence on while we are here amongst the living.
 

Uglytruth

Super Moderator
Sr Midas Sup +++
Survivor
Mother Lode
Joined
Apr 6, 2011
Messages
21,698
Reaction score
53,385
I think this is an attempt to squeeze what little the middle class has saved up for their future retirements.
12T is what is in pension accounts.

Living in the rust belt all I see is bones being picked over until there is nothing left.
 

Lancers32

You know...the thing
Site Supporter ++
Platinum Bling
Joined
May 10, 2020
Messages
5,921
Reaction score
8,335
Location
NC
Nothing goes up all of the time. If you are around 40 and I guess most here are you had a decent run if you invested in the market. You can get out if the volatility is too much no one is forcing anyone to stay in though some plans have limited "safe" options. Live on as little as possible put the rest away.
 

Lancers32

You know...the thing
Site Supporter ++
Platinum Bling
Joined
May 10, 2020
Messages
5,921
Reaction score
8,335
Location
NC
 

perry

Silver Member
Silver Miner
Joined
Oct 16, 2010
Messages
593
Reaction score
400
amazing fella at technically at 98, his birthday is on May 27.
 

Voodoo

Midas Member
Midas Member
Sr Site Supporter
Platinum Bling
Joined
Mar 31, 2010
Messages
7,602
Reaction score
12,625
Location
Deep Underground Bunker
Was looking for an update on RSX and found this.


Investors Who Shorted Russia ETFs Are Now Stuck Paying Never-Ending Fees​

Elaine Chen
Tue, May 17, 2022, 8:03 AM·5 min read


9db3b17f97d2ad83674a50fe871f7ecd

(Bloomberg) -- Investors who bet against ETFs tracking Russian assets in the build up to the Ukraine invasion made the right call -- and they’ve been paying the price ever since.

Stocks linked to Russia plunged following the outbreak of war and subsequent economic punishment meted out to the country, vindicating bearish wagers. But sanctions also made trading Russian securities almost impossible, leaving short sellers unable to exit their positions.
The result? Investors who shorted -- sold borrowed shares with the intention of buying them back more cheaply before returning them -- are still borrowing, paying the associated fees indefinitely.
The short-selling world is notoriously opaque and dominated by institutions who rarely disclose their bets. But based on available data, technology and analytics firm S3 Partners estimates short sellers of Russia-focused exchange-traded funds have paid around $2.6 million in borrow fees since the products were halted in early March.
“Short sellers are in a position where they’re effectively halted or frozen right now,” said Jacob Rappaport, head of equities at trading house StoneX. “It’s a difficult position to be in when there’s no resolution in sight.”
Of course, all the investors in funds like the VanEck Russia ETF (ticker RSX) and the iShares MSCI Russia ETF (ERUS) are effectively stuck after U.S. exchanges halted trading and issuers ceased creating and redeeming shares because underlying assets had become untradable. But generally, most fees on the vehicles have been waived so holders aren’t bleeding cash.
Short sellers, on the other hand, are usually paying a daily market rate for the shares they borrowed. The average rate for the ETFs has jumped this year to about 16% from 1%, according to S3. And while short interest in the ETFs was decreasing before they stopped trading, over $96 million worth of shares in the funds remain on loan, according to S3.
Ian Bezek, a Colombia-based investor and financial writer, has a $10,800 short position on ERUS. The 33-year-old is now paying an annualized borrow rate hovering at around 60%.
“If the borrow fees were like 5% or 10%, then not a problem. But at 60%, it’s definitely a major aggravation,” he said. “I have no idea of when the situation will change. It’s very frustrating.”
There’s still no clarity about how or when the freeze on the ETFs will end, nor how it will be resolved. Moscow-listed stocks are trading again, but foreigners aren’t allowed to sell them. Meanwhile, Russian companies with depositary receipts listed overseas -- which several of the ETFs hold -- are being forced to delist them by a law that took effect last month.
One trader at a family office who is short RSX said he asked three prime brokers about how he’ll be able to cover and none of the brokers had answers. The trader, who asked not to be identified, said he also asked about obtaining shares over-the-counter, but brokers and market makers seem unwilling to conduct those transactions.
The short-selling headache looks like a first in the ETF industry. In previous dramas, when a market or group of assets has shuttered, the structure of ETFs has allowed them to keep trading. When the underlying assets restarted, often they fell in line with ETF pricing. It’s a measure of the turmoil that on this occasion, ETFs had to halt, too.
Read more: ETFs Finally Find a Crisis They Can’t Trade Through in Ukraine
The securities-lending market falls under the purview of the Securities and Exchange Commission, though it’s unclear whether regulators will get involved because no rules have been broken. An SEC spokesperson declined to comment.
RSX, the largest Russia-focused ETF, had an annualized borrow rate that hovered at 1% at the start of the year, according to S3. As Russia-Ukraine tensions intensified, the rate spiked above 20% before coming down slightly. The data from S3 captures the market rate, but rates can vary across brokers.
Short sellers aren’t the only group hit by these rising borrowing costs. Some put holders also tapped the securities lending market to find the shares to exercise their options -- and those who did are still paying.
Russell Edwards, a U.K.-based retail trader, managed to borrow 2,200 shares of RSX to exercise put options that expired in March. His brokerage requires him to pay borrow fees currently running at about 30%. It’s a minor drag on his tiny portfolio for now, but the 26-year-old has no idea how long it will last.
“If suddenly those shares cost a lot more to loan and it’s at 300% next day, I don’t really have any recourse to” help avoid the fees, he said. “I’m just kind of stuck waiting.”
In the fog of the invasion and sanctions, some holders and brokers have stopped making shares available to loan, according to Ihor Dusaniwsky, head of predictive analytics at S3. That, alongside the halt to new share creation by issuers, has capped the supply available to borrow, leading rates to rise, he said.
Being trapped in their bearish bets has also left borrowers facing the possibility that their winning wagers will be losers by the time they can get out. They need funds and stocks trading again to cover their positions, but that would likely only happen if the Russia-Ukraine war de-escalated and the outlook improved dramatically -- which could trigger a recovery in asset prices.
In such a scenario, “I wouldn’t be surprised if my short position ends up losing me a lot of money,” said Abraham Miller, a Seattle-based software engineer who is shorting ERUS.

The underlying stocka are all tradong again in Russia. No excuse to keep this closed. Id be mad to say the least.
 

Uglytruth

Super Moderator
Sr Midas Sup +++
Survivor
Mother Lode
Joined
Apr 6, 2011
Messages
21,698
Reaction score
53,385
My guess is wallstreet shorted them & would get hosed if lifted.........
 

Voodoo

Midas Member
Midas Member
Sr Site Supporter
Platinum Bling
Joined
Mar 31, 2010
Messages
7,602
Reaction score
12,625
Location
Deep Underground Bunker
My guess is wallstreet shorted them & would get hosed if lifted.........

Well they would be stuck paying the borrow fees then... I have seen that the NAV of the holdings should be about $15-18 so that would be nice for those holding stock. Buying options probably not so much.
 

Tbonz

Gold Member
Gold Chaser
Site Supporter
Joined
Jan 28, 2012
Messages
3,029
Reaction score
4,189
Location
Land of the Free
Nothing goes up all of the time. If you are around 40 and I guess most here are you had a decent run if you invested in the market. You can get out if the volatility is too much no one is forcing anyone to stay in though some plans have limited "safe" options. Live on as little as possible put the rest away.
I've been watching the markets for well over 40 years, and it has never been as bad as it is now. Got a guy that is older than me, that lives in central Illinois, he's a machine when it comes to the market. He's making money, but will tell you flat out that the manipulation is outrageous.
 

Uglytruth

Super Moderator
Sr Midas Sup +++
Survivor
Mother Lode
Joined
Apr 6, 2011
Messages
21,698
Reaction score
53,385
but will tell you flat out that the manipulation is outrageous.
How do you trade "manipulation"? Charts? History? Technicals? Gamble at the casino?
 

Lancers32

You know...the thing
Site Supporter ++
Platinum Bling
Joined
May 10, 2020
Messages
5,921
Reaction score
8,335
Location
NC
 

dpong

Site Supporter
Gold Chaser
Site Supporter
Joined
Jan 11, 2012
Messages
3,475
Reaction score
4,325
Third employee death announced today by my employer for year-to-date. This is not normal.
 

dpong

Site Supporter
Gold Chaser
Site Supporter
Joined
Jan 11, 2012
Messages
3,475
Reaction score
4,325
That's something like 0.33% or a third of a percent of the workforce dead in first 5 months of the year to date.

[That's not normal.]
 

Tbonz

Gold Member
Gold Chaser
Site Supporter
Joined
Jan 28, 2012
Messages
3,029
Reaction score
4,189
Location
Land of the Free
How do you trade "manipulation"? Charts? History? Technicals? Gamble at the casino?
I'm not huge into trading, there are some things that I have jumped into seen a 10% increase and have sold off the cost of the trade and sit on the profit.

For my personal money, I buy and hold if I really like the company and nothing fundamentally changes. (Buffet)

That said right now I look at the markets and the cost of doing business is going up without an end in sight, costs are going/getting passed along to customers and as far as I can see this isn't going to stop for a very long time. Too much money pushed into the economy, easy money with low interest rates, and wages for the middle class are not really improving even if people think that 6% raises don't keep up with 12-20-100% increases in cost of food or gas.

PM's is where I'm going good, bad or whatever, that's the direction I'm going.
 

Lancers32

You know...the thing
Site Supporter ++
Platinum Bling
Joined
May 10, 2020
Messages
5,921
Reaction score
8,335
Location
NC
Powell tomorrow. Does the market hold up?
 

Uglytruth

Super Moderator
Sr Midas Sup +++
Survivor
Mother Lode
Joined
Apr 6, 2011
Messages
21,698
Reaction score
53,385

Lancers32

You know...the thing
Site Supporter ++
Platinum Bling
Joined
May 10, 2020
Messages
5,921
Reaction score
8,335
Location
NC
It's a nuthouse. Even the new Press Secretary was so lame she lasted what a week?
 

Uglytruth

Super Moderator
Sr Midas Sup +++
Survivor
Mother Lode
Joined
Apr 6, 2011
Messages
21,698
Reaction score
53,385
So my RSX is a double :2 thumbs up: ........ on paper :inspector:................... until it is unlocked :totally steamed::give finger::fighting:.



Russia’s Move To Gold May Jolt Your Company​

Zenger News
Contributor
The first digitally native newswire, restoring trust in the news.
Follow
May 2, 2022,01:51pm EDT

Listen to article8 minutes

https://policies.google.com/privacy

By Erik Sherman

Suffering from U.S. and EU sanctions, Russia made a surprise move—its central bank fixed the price of 5,000 rubles to a gram of gold. Few Western investors or executives noticed.

Then, Russia sprang its trap. Its finance ministry announced that it would require payment for oil, natural gas and other of its significant exports in rubles.


“What the Russians did was a genius, I hate to say it,” explains Jack Bouroudjian, former president of Commerce Bank in Chicago and now chairman of the Global Smart Commodity Group. “It forces people to go to the Russian central bank and pay gold to get rubles to make the transactions.” The ruble had been trading in the range of 70 to 80 for a U.S. dollar. After the sanctions, it plummeted to 120. “Now the ruble basically recovered, trading 80 rubles to the dollar. And it’s because of the way they pegged the ruble to gold.”

U.S. companies that have either international suppliers or customers could be jolted by Russia’s golden move. Overseas business partners may need to barter gold for rubles to pay for inputs, like energy, minerals or fertilizers, and therefore demand that their U.S. counterparts pay in rubles or bullion. Additionally, American firms may need to acquire a stack of rubles to pay for their own inputs for foreign-based factories, warehouses or raw materials.
RUSSIA-FOREX-RUBLE-ECONOMY-CURRENCY

A Russian ruble coin is pictured with US dollar bills and a one dollar coin in Moscow, on March 15, ... [+]
AFP VIA GETTY IMAGES
By tying the ruble to gold, Russia pushes to make its currency independent of comparisons to the U.S. dollar. Requiring countries to buy its desired major exports with the ruble is an attempt to create an alternative global financial path and also to increase the amount of gold it holds.
MORE FOR YOU

5 Cognitive Biases Blocking Your Success​


Preparing To Go Public: An Overview Of The IPO Process​


Immigrants Hope Registry Saves Immigration Bill​


Overall, the move is clever geopolitical PR “showing Russia is a major political, showing that [Putin] can make western leaders vulnerable politically,” said Andrei Korobkov, professor and director of Russian studies in the political science and international relations department at Middle Tennessee State University. “It’s sending [other countries] a signal that it’s time to start destroying western monopoly and the financial strength of the dollar.”

Russia’s move, like a forced error in baseball, was set in motion by the actions of the Biden administration and other western powers in responding to that country’s invasion of Ukraine. Even though Russia’s debt to GDP ratio is a very low number — about 18% according to analytics consultancy World Economics — the country is close to default on two different dollar-based bonds because the U.S. has blocked Russia’s access to its U.S. dollar holdings. Then, Russia tried to pay in rubles. No dice. So Russia needed to find another source of dollars to pay its bond holders. Receiving gold for its rubles (which will, in turn, be used to purchase oil and other energy and fertilizer products), gives Moscow gold to trade for dollars in international markets and thereby pay its bond holders.
RUSSIA-UKRAINE-CONFLICT-ECONOMY-BANKING

A view of the Russian Central Bank headquarters in downtown Moscow on February 28, 2022. - Russia's ... [+]
AFP VIA GETTY IMAGES
Russia isn’t alone in its desire. “China has been explicit” in its desire to displace the dollar and make the yuan more central, Mitchell said.
“The biggest one of anyone trying to displace the dollar is that it’s terribly convenient when everyone uses the same currency,” said Mitchell. “It complicates things if you have people who want to make payments or receive this currency or that currency. The second issue related to that is if you’re going to hold a currency that isn’t your currency, you want a currency that’s widely usable and that a lot of people want. Because of capital controls in China, the yuan hasn’t been able to satisfy that condition to the same degree.” Although China has reduced support for the yuan, Mitchell said, it still artificially suppresses the currency’s value compared to others so the country can more easily export.
China is taking preliminary measures to defend their state-owned assets against financial sanctions similar to those the U.S. launched against Russia. Regulators from China’s central bank met with domestic and foreign banks to discuss protecting its overseas against possible U.S.-led sanctions, which could be triggered if China were to exert military force against Taiwan, a vulnerable island that China considers its territory.
Get ready for a new round of attempts by Russia and China to displace the U.S. dollar as the world’s reserve currency—the trusted default for financial transactions everywhere.
The desire to supplant the U.S. dollar as the world’s reserve currency is not new. “Historically the European Union wanted to do this,” said Christopher Mitchell, assistant professor of politics and international relations at Mt. Holyoke College. “I think there’s a global sense that the euro isn’t ready for that role until the EU supports it with a fiscal and political union. As long as they have these existential questions even as Europeans want to make a bid for it, there are too many questions about the EU and the Eurozone.”
Today, virtually all international transactions occur in U.S. dollars – everything from agriculture and ammunition to credit cards and oil barrels. This gives the United States some unique advantages: its national debt is denominated in its own currency and it’s generally cheaper to borrow in greenbacks than in rubles or yuan. If the dollar lost its special status as the “world’s reserve currency,” the price of its imports would rise and the price of its exports would fall. And Americans would be forced to export in order to earn foreign currencies to pay its national debt, which has already topped $30 trillion.
US-ECONOMY-DEBT

A man waits at a bus stop that displays the national debt of the United States on June 19, 2020 in ... [+]
AFP VIA GETTY IMAGES
“If you like fishing, if you like being on boats, you need that lighthouse, you need that safe harbor,” said Giacomo Santangelo, a senior lecturer of economics at Fordham University. Not just in case of danger, but for an overall orientation and orderly operation. “The reserve currency is that safe harbor [providing] stabilization of trade and currency markets.”
“The stronger a nation’s currency, the cheaper imports are going to be from other countries,” Santangelo said. “Their currency goes further in the world market.” Companies and individuals see their purchasing power go further. The country can also borrow at lower interest rates, which is critical for the U.S. given its penchant for national debt financing.
Neither Russia nor China, nor even the EU, is yet in a position to displace the supremacy of the dollar. Still, a series of unfortunate events could quickly dethrone king dollar.
“The dominant role of a global currency is on a tipping point model,” say Mitchell, who points to a time when the British pound served in the role until the 1950s, when the country was perceived as “too weak to support a dominant currency.” The British pound never recovered its global role.
There wouldn’t be a slow transition, more an “accumulation of dissatisfactions with the current order that don’t manifest in change until they suddenly do,” Mitchell said. “Certainly, China and Russia and some other countries would love to displace the dollar’s central role. That was one of the big dangers of the U.S. engaging in central bank sanctions [on Russia]. There are little pushes toward actors becoming less comfortable with the central role of the dollar.”
 

savvydon

Platinum Bling
Site Supporter ++
Platinum Bling
Joined
Dec 14, 2010
Messages
4,514
Reaction score
5,684
Silver still not above $22... Until it gets above $22, this is nothing but a bear market rally.
Peeking it's head above $22 as I type. Yesterday looked promising but the typical blatant Comex beatdown came and that was that. Let's see what the Comex holds in store for us today.
 

Lancers32

You know...the thing
Site Supporter ++
Platinum Bling
Joined
May 10, 2020
Messages
5,921
Reaction score
8,335
Location
NC
Put aside the fact that the best Silver could do was double top in 2011 and make a much lower top in 2020 while Gold was able to better the 1980 high two successive cycles.
IF you think Silver will trade well over $100 you might as well wait to buy on a sustained breakout over $30.
 

Jodster

Always wrong
Silver Miner
Survivor
Joined
Apr 4, 2010
Messages
2,291
Reaction score
3,249
Put aside the fact that the best Silver could do was double top in 2011 and make a much lower top in 2020 while Gold was able to better the 1980 high two successive cycles.
IF you think Silver will trade well over $100 you might as well wait to buy on a sustained breakout over $30.
The manipulators are way more interested in gold to protect the dollar. (US FED)
The manipulators are way more interested in silver to make a profit. (JP Morgue)
 

Voodoo

Midas Member
Midas Member
Sr Site Supporter
Platinum Bling
Joined
Mar 31, 2010
Messages
7,602
Reaction score
12,625
Location
Deep Underground Bunker
Does anyone here buy or trade individual Corporate Bonds? Seems like they can be a nice opportunity if you buy really undervalued bonds during times like these. Personally, I would like to short some of those RCL bonds and buy some BBBY or similar bonds.
 

Jodster

Always wrong
Silver Miner
Survivor
Joined
Apr 4, 2010
Messages
2,291
Reaction score
3,249
FOMC 2pm.
I don't know whet they said but the markets liked it. Solid green across the board.
The casino is still open boys! The cards are marked and the tables rigged, but there's a lineup out the door!