The stock exchange and the tariffs are not the battleground.
Asia started dropping US treasury bills. 30 year bills reached a max in decades
Trump blinked.
Edit: this was front and center in Financial Times, WSJ three hours ago. Now suddenly pushed back, exchange rally being front page news. People don’t understand how close to financial apocalypse we have been. Somebody in the WH scared the shit out of Trump.
You will never convince any of his apologists that this is the case.
His first round with Canada back in February, and MAGA insisted "he won"
Then came back and tried the same thing again two months later. Same response from the Canadian side. Same slight backing off, reorganizing, but confusion, and nobody seems to actually know which tariffs apply and which do not.
It sounds now like 10% for the whole world, but still 25% steel and aluminum and other tariffs on Canada, the US's biggest trading partner and customer? How insane is that?
They're "flooding the zone" with confusion and chaos, and making money in the process. Anybody who wants to maintain power and influence and money has to get close to him, avoid criticizing him, and then they get the inside scoop.
Incredible write up. I don't understand a lot of it, but:
> "Hedge funds have trillions tied up in this kind of strategy,” he said. "As things spiral, they’re being forced to sell anything they can — even good assets — just to stay afloat . . . if the Federal Reserve doesn't step in soon, this could turn into a full-blown crisis. It’s that serious."
> One hedge fund manager said: "Those huge hedge funds with trillions of dollars of Treasuries relative value trades will blow up today if the Fed doesn’t bail them out."
Asia started dropping US treasury bills. 30 year bills reached a max in decades
Trump blinked.
Edit: this was front and center in Financial Times, WSJ three hours ago. Now suddenly pushed back, exchange rally being front page news. People don’t understand how close to financial apocalypse we have been. Somebody in the WH scared the shit out of Trump.