Ukraine Troops Destroy Part Of "Armed" Russian Convoy
Perhaps someone didn't care for the "Petrodollar must die" commentary?
BBC doesn't appear to be reporting this story (Ukraine Troops Destroy Part of "Armed" Russian Convoy).
http://www.bbc.com/
Just the relief convoy.
http://www.bbc.com/news/world-europe-28802849
?
Aloha! After eight days of no power and no internet I am happy to report that the Cat1 winds of Iselle are not enough to ruin Paradise! Maybe WW3 is …
Still … for all the talk of WAR I am wondering how the hell are all these SUPER DEBT countries going to pay for it? It won't be tax revenues and really no major war ever runs on just taxation.
A recent Bloomberg article shows long term debt holders, including China and Japan, moving out of US Treasuries at an all time record rate for the month of June.
The total net outflow of long-term U.S. securities and short-term funds such as bank transfers was $153.5 billion, after an inflow of $33.1 billion the previous month, the Treasury Department said in a report today. The June figure, and $40.8 billion in net selling of Treasury bonds and notes by private investors in June, were the largest on record, the Treasury said.
China and Japan’s combined share of total foreign holdings of Treasuries has declined since 2004. It dropped to 41.4 percent in June from 50.9 percent in August 2004, according to data compiled by Bloomberg.
When there is a WW3 then imagine how much faster China and Japan will move out of US Treasuries to pay for their military ramp up! Now imagine that FFR interest rates will not be at near 0% when that happens.
I took a look back at US Treasury numbers and in the June 30th, 1998 report there was only $31BIL in long term bonds, which is what is needed to fund a WW3. Pretty much all the fiscal years until 2009 saw low commitments to long term US bonds. That is when the Great Depression #2 hit and then during Obama's reign the long term bond sales(issuances) skyrocketed and net debt jumped to $1.5TRIL YTD in June. In June 2010 net debt YTD stayed high at $1.3TRIL. We have been piling on the net debt since then. If you go back to FY 1998 in June the net debt YTD was only $134BIL. In today's US Treasury debt market it only takes days for net debt increases greater than $134BIL, not years!
What I see is that the USA had its WW3 in "debt terms" in 2008-2011, but it was not a guns blazing, bomb dropping war like WW2 it was a derivatives bombing currency war where accountants and lawyers were drafted for the front lines in order to save US banks from their own hubris. The US economy has not fully recovered since then and in fact more resembles a "post war economy" … In reality we had our WW3 … WW4 is next!
There you have it … every Empire eventually impales itself on the Sword of Hubris! In ancient Greek times "hubris" was a crime punishable by death. Now it's an art form refined and exalted by elite politicians and bankers working in unison to make sure maximum suffrage is imposed on the masses by central banking. That's the place that wars are funded and fought and all fiscal reality is suspended.
"It was a bright cold day in April and the clocks were striking thirteen." - George Orwell, 1984, first sentence