@cms neuf You really have no idea about what you are talking about. The EU will not only blink, they will bend the knee and kiss the ring. All those bonds are being scooped up. Treasury yeilds are going up, because Trump is making deals. Starmer said the UK deal saved thousands of UK jobs. But of course the pressure from the tariffs isnt working to make countries negotiate. India is next, Canada is waiting in line. When the EU comes to the table, they will be dealing with Trump who has already made deals and set a baseline for things to come. The EU may not like the baseline thats established because they took too long to get to the table.
@cms neuf Incorrect once again. Bond yields go up when there is confidence in the bond market. This happens when there is a selloff, like what China is doing, so that creates a buyers market to get higher yields. No one needs to increase interest rates, these bond selloffs create greater rates of interest on the bond itself. While existing bonds lose a little value, these selloffs are great for big buyers.
And just as we talk about kissing the ring Ursula is putting on her lipstick.
Buyers markets mean lower prices FOR THE BUYER. In this case better yields. If demand was strong, the yield would fall
What is it about math(s) that confuses MAGA types ?
Why not just Google "are high bond yields good for the government" ?
Or maybe to put it in terms that the meth heads of Steubenville understand - higher bond yields mean more of Americans taxes being spent on paying debts.
Why would there be a sell off if there was confidence in the market ?
That is mental
There is no sense arguing with people like you who don't understand such basic things. Anyway I am sure you are in for a 12 hour shift of trans, racism and misogyny but I'm going out for a few drinks in the Stare Miasto
One of America's most Democratic states is experiencing a dramatic shift to the right for the first time in decades.
A new poll has found New York could be competitive for Republicans as candidates eye challenging unpopular Democratic Governor Kathy Hochul who is running for reelection in 2026.
Fascists!!!! Xenophobes!!!! Racists!!!! Putin's tools!!!! MAGA idiots!!!!
@Novichok When people have never made investments, but want to argue investing, they always head to google to try to form an opinion.
When there is a singular large seller, that seller is in distress. China. That distressed owner of bonds goes on a gradually declining in value selling spree. This leads to other investors buying at lower costs, producing higher yields. Its pretty simple. But go ahead and argue your own points that are not supported by any real experience.
Meanwhile, Vance is the one who got Pakistan and India talking to get a cease fire. But of course he wont get credit for it from the lefties. Trump is making trade deals. And China is now at the table ready to make concessions. Ursula is preparing for trade negotiations now, and is said to have bought some knee pads for a private meeting with Trump. But you know, those tariffs arent going to work, no one will negotiate.
But China is not in distress. They are not desperate for money.
When you talk about distress in bonds, you are mostly referring to the issuer. The issuer is the country that is borrowing money. In this case the US. For all its problems however the US is not yet in distress like say Greece or North Nigeria.
Maybe you want to join the investment thread like the other MAGA math genius, Ptak !
MAGA don't understand simple mathematics concepts like tariffs or inflation or ETFs, let alone slightly more involved like bond yields.
@cms neuf Wrong. China is in distress. You have no clue about the Chinese economy. Many factories owned by the state are closed, and workers are laid off, or sent on holiday. Shipments cancelled and ships turned around from ports. Its exactly why they are selling to keep things afloat, and exactly why they are negotiating.
I have read the investment thread its prettty funny. It is hilarious to read the bragging and individual stock picks of some.
But that is a totally separate issue - even if Chinese businessmen are closing factories (doubtful) that has nothing to do with US bonds held (and being sold) by the Chinese government.
You are of course welcome to add your own tips to the investment thread
@cms neuf I am not a stock expert. I only deal with blue chips that pay dividends and then auto reinvest in those same stocks with dividends. Crypto trading, thats another story.
"Among the main drivers of Beijing's climb-down were internal signals that Chinese companies were struggling to avoid bankruptcies and to replace the U.S. market, three people familiar with the Chinese government's thinking said.1"
If China cant replace the US market, how is Europe going to? No chance. Ursula better pucker up.
It has happened and thats why they are talking to the US now and negotiating. Talks in Geneva. Comapnies in China facing bankruptcy already. The bonds started declining because of the China sell off, due to Trumps tariffs on China. Its not a crazy policy when everyone is negotiating, its a policy that did what it was intended to do. Why is a policy considered crazy when it achieves the intended results? Trumps talk is just talk, but his pen is very strong at taking action that produces the desired results.
That said, no country should be dumb enough to import American meets loaded with antibiotics and steroids. RFK has a lot of work left to do, but he is getting a lot done. Whats crazy is that the drug companies are against safty testing all vacinnes that have never been tested. If they are safe, theres no problem. No one is talking about taking them off the shelves before testing is complete. So why would big pharma object to testing? Why is it somehow ok for the FDA to approve products for human consumption that have chemicals derived from petroleum?