Bond Market Braces For $ 1 Trillion Tsunami Of Treasuries This Year

[g5000]

A debt based economy depends on a growing debt. We have more debt than we do money in circulation. The moment the Fed raises the interest rates you'll know they have decided to take us down.

They won't have any choice but to raise rates.

They won't be able to sell Trump's debt unless they do.

It's not the Fed which will take us down. It is profligate spending by Trump and all who preceded him.

LOL, he, like every other Prez works for the Bankers. He will do what the Fed tells him to do.

The Fed did not tell the GOP and Trump to overspend. The American people did. The pseudocons CHEERED when Trump overspent on tax "reform".

You are talking out of your ass.

 

[g5000]

Dipshits misspelled Treasuries: Bond market braces for $ 1 trillion tsunami of Treasurys this year

Trump's Tard Herd has been deliberately kept in the dark to the fact that Trump ran up $666 billion in new debt last year. That's the highest deficit of any President in American history other than Obama.

And now, another trillion is about to hit the fan.

You see, pseudocons think if you keep adding more to your credit card, your payments don't have to go up.

In fact, Trump just lowered their credit card payment (tax "reform").

What we have here, ladies and gentlemen, is a Ponzi scheme. Trump is issuing debt (borrowing) to pay off the national credit card!

I shit you not.

The tax "reform" transferred $1.5 trillion of debt to our unborn descendants.

As if that isn't a big enough clusterfuck, at today's yields there probably isn't enough demand for Trump's trillion dollar treasuries.

So interest rates will have to rise to entice our enemies to loan us more money.

There are an astronomical number of financial derivatives which will implode if that happens. Derivatives with face values approaching triple digit trillions.


“If demand for U.S. fixed income doesn’t double over the coming years then U.S. long rates will move higher, credit spreads will widen, the dollar will fall, and stocks will likely go down as foreigners move out of depreciating U.S. assets,” said Torsten Slok, chief international economist for Deutsche Bank, in a note.


I warned you. I told you the last time the GOP controlled the whole government they spent like drunken sailors in a whorehouse.

There are an astronomical number of financial derivatives which will implode if that happens.

What kind of derivative "implodes" when rates rise?

See post 3. Also, interest rate swaps. Credit default swaps.

And as I said above, any bond bought in the past few years will be underwater. Therefore, they take big losses, and any derivatives built on those bonds will implode.

Just like 2008.

What does that "implosion" look like?

It looks like 1994, only much worse.


ORANGE COUNTY'S BANKRUPTCY: THE OVERVIEW; Orange County Crisis Jolts Bond Market

Derivatives with face values approaching triple digit trillions.

Face value?

Yes. Face value.

Also, interest rate swaps. Credit default swaps.

Yes, some people will make money on those derivatives, some will lose.

It's not a zero sum game, retard. See: 2008.

 

[Toddsterpatriot]

Put it this way. When interest rates go up, all those trillions and trillions of bonds issued the past few years will be underwater.

You know, like home mortgages in 2008.

And those losses are multiplied 10, 20, 30 times by overleveraged derivatives.

Put it this way. When interest rates go up, all those trillions and trillions of bonds issued the past few years will be underwater.

Yes, bond values fluctuate when interest rates change.
If you didn't already know that you probably shouldn't invest your own money.

And those losses are multiplied 10, 20, 30 times by overleveraged derivatives.

If you didn't know how bond prices fluctuate, you really shouldn't trade bond derivatives.

And yet Wall Street has been caught with their dicks in the wringer countless times.

Including the guys who manage your 401k.

It's true, some people are long bonds, some people are short.

 

[Siete]

A debt based economy depends on a growing debt. We have more debt than we do money in circulation. The moment the Fed raises the interest rates you'll know they have decided to take us down.

They won't have any choice but to raise rates.

They won't be able to sell Trump's debt unless they do.

It's not the Fed which will take us down. It is profligate spending by Trump and all who preceded him.

LOL, he, like every other Prez works for the Bankers. He will do what the Fed tells him to do.

The Fed did not tell the GOP and Trump to overspend. The American people did. The pseudocons CHEERED when Trump overspent on tax "reform".

You are talking out of your ass.

Dope speaks fluent shit, no big surprise

 

[Doc1]

A debt based economy depends on a growing debt. We have more debt than we do money in circulation. The moment the Fed raises the interest rates you'll know they have decided to take us down.

They won't have any choice but to raise rates.

They won't be able to sell Trump's debt unless they do.

It's not the Fed which will take us down. It is profligate spending by Trump and all who preceded him.

LOL, he, like every other Prez works for the Bankers. He will do what the Fed tells him to do.

The Fed did not tell the GOP and Trump to overspend. The American people did. The pseudocons CHEERED when Trump overspent on tax "reform".

You are talking out of your ass.

Nope, you are. If you aren't intelligent enough to know that the Central Banks run everything you are as ignorant as I have said you are.

 

[Toddsterpatriot]

An inverse floater is a bond or other type of debt whose coupon rate has an inverse relationship to a benchmark rate. An inverse floater adjusts its coupon payment as the interest rate changes. When the interest rate goes up the coupon payment rate will go down because the interest rate is deducted from the coupon payment. A higher interest rate means more is deducted, thus less is paid to the holder.

Inverse Floater

Looks like these borrowers will have a lower interest expense if rates rise.
Sounds awful!

Wrong.

The buyers of the inverse floaters will take a huge loss. That's why it is called an INVERSE floater, tard.

Just like 1994.

Wrong.

The buyers of the inverse floaters will take a huge loss.

And the sellers will have a gain, moron.

 

[Doc1]

A debt based economy depends on a growing debt. We have more debt than we do money in circulation. The moment the Fed raises the interest rates you'll know they have decided to take us down.

They won't have any choice but to raise rates.

They won't be able to sell Trump's debt unless they do.

It's not the Fed which will take us down. It is profligate spending by Trump and all who preceded him.

LOL, he, like every other Prez works for the Bankers. He will do what the Fed tells him to do.

The Fed did not tell the GOP and Trump to overspend. The American people did. The pseudocons CHEERED when Trump overspent on tax "reform".

You are talking out of your ass.

Dope speaks fluent shit, no big surprise

"Dope" regularly kicks your ass, sucks to be you.

 

[Toddsterpatriot]

Dipshits misspelled Treasuries: Bond market braces for $ 1 trillion tsunami of Treasurys this year

Trump's Tard Herd has been deliberately kept in the dark to the fact that Trump ran up $666 billion in new debt last year. That's the highest deficit of any President in American history other than Obama.

And now, another trillion is about to hit the fan.

You see, pseudocons think if you keep adding more to your credit card, your payments don't have to go up.

In fact, Trump just lowered their credit card payment (tax "reform").

What we have here, ladies and gentlemen, is a Ponzi scheme. Trump is issuing debt (borrowing) to pay off the national credit card!

I shit you not.

The tax "reform" transferred $1.5 trillion of debt to our unborn descendants.

As if that isn't a big enough clusterfuck, at today's yields there probably isn't enough demand for Trump's trillion dollar treasuries.

So interest rates will have to rise to entice our enemies to loan us more money.

There are an astronomical number of financial derivatives which will implode if that happens. Derivatives with face values approaching triple digit trillions.


“If demand for U.S. fixed income doesn’t double over the coming years then U.S. long rates will move higher, credit spreads will widen, the dollar will fall, and stocks will likely go down as foreigners move out of depreciating U.S. assets,” said Torsten Slok, chief international economist for Deutsche Bank, in a note.


I warned you. I told you the last time the GOP controlled the whole government they spent like drunken sailors in a whorehouse.

There are an astronomical number of financial derivatives which will implode if that happens.

What kind of derivative "implodes" when rates rise?

See post 3. Also, interest rate swaps. Credit default swaps.

And as I said above, any bond bought in the past few years will be underwater. Therefore, they take big losses, and any derivatives built on those bonds will implode.

Just like 2008.

What does that "implosion" look like?

It looks like 1994, only much worse.


ORANGE COUNTY'S BANKRUPTCY: THE OVERVIEW; Orange County Crisis Jolts Bond Market

Derivatives with face values approaching triple digit trillions.

Face value?

Yes. Face value.

Also, interest rate swaps. Credit default swaps.

Yes, some people will make money on those derivatives, some will lose.

It's not a zero sum game, retard. See: 2008.

List any derivative that isn't zero sum, idiot.

 

[g5000]

Put it this way. When interest rates go up, all those trillions and trillions of bonds issued the past few years will be underwater.

You know, like home mortgages in 2008.

And those losses are multiplied 10, 20, 30 times by overleveraged derivatives.

Put it this way. When interest rates go up, all those trillions and trillions of bonds issued the past few years will be underwater.

Yes, bond values fluctuate when interest rates change.
If you didn't already know that you probably shouldn't invest your own money.

And those losses are multiplied 10, 20, 30 times by overleveraged derivatives.

If you didn't know how bond prices fluctuate, you really shouldn't trade bond derivatives.

And yet Wall Street has been caught with their dicks in the wringer countless times.

Including the guys who manage your 401k.

It's true, some people are long bonds, some people are short.

That's not how derivatives work.

A credit default swap is not zero sum. For all intents and purposes, it is an insurance policy.

If a bond ends up underwater, the seller of the CDS takes a big loss. The CDS buyer breaks even. So there is a net loss of wealth.

 

[g5000]

Dipshits misspelled Treasuries: Bond market braces for $ 1 trillion tsunami of Treasurys this year

Trump's Tard Herd has been deliberately kept in the dark to the fact that Trump ran up $666 billion in new debt last year. That's the highest deficit of any President in American history other than Obama.

And now, another trillion is about to hit the fan.

You see, pseudocons think if you keep adding more to your credit card, your payments don't have to go up.

In fact, Trump just lowered their credit card payment (tax "reform").

What we have here, ladies and gentlemen, is a Ponzi scheme. Trump is issuing debt (borrowing) to pay off the national credit card!

I shit you not.

The tax "reform" transferred $1.5 trillion of debt to our unborn descendants.

As if that isn't a big enough clusterfuck, at today's yields there probably isn't enough demand for Trump's trillion dollar treasuries.

So interest rates will have to rise to entice our enemies to loan us more money.

There are an astronomical number of financial derivatives which will implode if that happens. Derivatives with face values approaching triple digit trillions.


“If demand for U.S. fixed income doesn’t double over the coming years then U.S. long rates will move higher, credit spreads will widen, the dollar will fall, and stocks will likely go down as foreigners move out of depreciating U.S. assets,” said Torsten Slok, chief international economist for Deutsche Bank, in a note.


I warned you. I told you the last time the GOP controlled the whole government they spent like drunken sailors in a whorehouse.

There are an astronomical number of financial derivatives which will implode if that happens.

What kind of derivative "implodes" when rates rise?

See post 3. Also, interest rate swaps. Credit default swaps.

And as I said above, any bond bought in the past few years will be underwater. Therefore, they take big losses, and any derivatives built on those bonds will implode.

Just like 2008.

What does that "implosion" look like?

It looks like 1994, only much worse.


ORANGE COUNTY'S BANKRUPTCY: THE OVERVIEW; Orange County Crisis Jolts Bond Market

Derivatives with face values approaching triple digit trillions.

Face value?

Yes. Face value.

Also, interest rate swaps. Credit default swaps.

Yes, some people will make money on those derivatives, some will lose.

It's not a zero sum game, retard. See: 2008.

List any derivative that isn't zero sum, idiot.

I just did, tard.

 

[g5000]

Dipshits misspelled Treasuries: Bond market braces for $ 1 trillion tsunami of Treasurys this year

Trump's Tard Herd has been deliberately kept in the dark to the fact that Trump ran up $666 billion in new debt last year. That's the highest deficit of any President in American history other than Obama.

And now, another trillion is about to hit the fan.

You see, pseudocons think if you keep adding more to your credit card, your payments don't have to go up.

In fact, Trump just lowered their credit card payment (tax "reform").

What we have here, ladies and gentlemen, is a Ponzi scheme. Trump is issuing debt (borrowing) to pay off the national credit card!

I shit you not.

The tax "reform" transferred $1.5 trillion of debt to our unborn descendants.

As if that isn't a big enough clusterfuck, at today's yields there probably isn't enough demand for Trump's trillion dollar treasuries.

So interest rates will have to rise to entice our enemies to loan us more money.

There are an astronomical number of financial derivatives which will implode if that happens. Derivatives with face values approaching triple digit trillions.


“If demand for U.S. fixed income doesn’t double over the coming years then U.S. long rates will move higher, credit spreads will widen, the dollar will fall, and stocks will likely go down as foreigners move out of depreciating U.S. assets,” said Torsten Slok, chief international economist for Deutsche Bank, in a note.


I warned you. I told you the last time the GOP controlled the whole government they spent like drunken sailors in a whorehouse.

There are an astronomical number of financial derivatives which will implode if that happens.

What kind of derivative "implodes" when rates rise?

See post 3. Also, interest rate swaps. Credit default swaps.

And as I said above, any bond bought in the past few years will be underwater. Therefore, they take big losses, and any derivatives built on those bonds will implode.

Just like 2008.

What does that "implosion" look like?

It looks like 1994, only much worse.


ORANGE COUNTY'S BANKRUPTCY: THE OVERVIEW; Orange County Crisis Jolts Bond Market

Derivatives with face values approaching triple digit trillions.

Face value?

Yes. Face value.

Also, interest rate swaps. Credit default swaps.

Yes, some people will make money on those derivatives, some will lose.

It's not a zero sum game, retard. See: 2008.

List any derivative that isn't zero sum, idiot.

See posts 3 and 29.

 

[g5000]

Additional valuation of an inverse floater can be determined by looking at the security's coupon leverage. To illustrate, suppose the creator of the floater and inverse floater divides the underlying collateral up into 100 bonds, 20 inverse an 80 floater bonds. The leverage in this structure is 4:1 of floater to inverse bonds. As such the following relationship must hold:

Based on this formula and value of the collateral, it can not be assumed that a decrease in the reference rate will automatically translate into a gain for the inverse floater. Such scenarios can be attributed to changes in the overall market and the yield curve that negatively impact the collateral's value.

Inverse floating rate note - Wikipedia

 

[g5000]

An inverse floater is a bond or other type of debt whose coupon rate has an inverse relationship to a benchmark rate. An inverse floater adjusts its coupon payment as the interest rate changes. When the interest rate goes up the coupon payment rate will go down because the interest rate is deducted from the coupon payment. A higher interest rate means more is deducted, thus less is paid to the holder.

Inverse Floater

Looks like these borrowers will have a lower interest expense if rates rise.
Sounds awful!

Wrong.

The buyers of the inverse floaters will take a huge loss. That's why it is called an INVERSE floater, tard.

Just like 1994.

Wrong.

The buyers of the inverse floaters will take a huge loss.

And the sellers will have a gain, moron.

See post 32, tard.

 

[TheDude]

Dipshits misspelled Treasuries: Bond market braces for $ 1 trillion tsunami of Treasurys this year

Trump's Tard Herd has been deliberately kept in the dark to the fact that Trump ran up $666 billion in new debt last year. That's the highest deficit of any President in American history other than Obama.

And now, another trillion is about to hit the fan.

You see, pseudocons think if you keep adding more to your credit card, your payments don't have to go up.

In fact, Trump just lowered their credit card payment (tax "reform").

What we have here, ladies and gentlemen, is a Ponzi scheme. Trump is issuing debt (borrowing) to pay off the national credit card!

I shit you not.

The tax "reform" transferred $1.5 trillion of debt to our unborn descendants.

As if that isn't a big enough clusterfuck, at today's yields there probably isn't enough demand for Trump's trillion dollar treasuries.

So interest rates will have to rise to entice our enemies to loan us more money.

There are an astronomical number of financial derivatives which will implode if that happens. Derivatives with face values approaching triple digit trillions.


“If demand for U.S. fixed income doesn’t double over the coming years then U.S. long rates will move higher, credit spreads will widen, the dollar will fall, and stocks will likely go down as foreigners move out of depreciating U.S. assets,” said Torsten Slok, chief international economist for Deutsche Bank, in a note.


I warned you. I told you the last time the GOP controlled the whole government they spent like drunken sailors in a whorehouse.

Anyone entertaining the OP's thread should read this. It's even supported by left-leaning SNOPES. I stopped reading the OP by the second paragraph. Problem with the OP is, the better Trump performs the more desperate his rhetoric. FACT CHECK: Has the National Debt Fallen by $102 Billion Since Donald Trump's Inauguration?

 

[Siete]

A debt based economy depends on a growing debt. We have more debt than we do money in circulation. The moment the Fed raises the interest rates you'll know they have decided to take us down.

They won't have any choice but to raise rates.

They won't be able to sell Trump's debt unless they do.

It's not the Fed which will take us down. It is profligate spending by Trump and all who preceded him.

LOL, he, like every other Prez works for the Bankers. He will do what the Fed tells him to do.

The Fed did not tell the GOP and Trump to overspend. The American people did. The pseudocons CHEERED when Trump overspent on tax "reform".

You are talking out of your ass.

Dope speaks fluent shit, no big surprise

"Dope" regularly kicks your ass, sucks to be you.

pretend I give a fuck what you yammer about - then pretend you grew up.

 

[g5000]

An inverse floater is a bond or other type of debt whose coupon rate has an inverse relationship to a benchmark rate. An inverse floater adjusts its coupon payment as the interest rate changes. When the interest rate goes up the coupon payment rate will go down because the interest rate is deducted from the coupon payment. A higher interest rate means more is deducted, thus less is paid to the holder.

Inverse Floater

Looks like these borrowers will have a lower interest expense if rates rise.
Sounds awful!

Wrong.

The buyers of the inverse floaters will take a huge loss. That's why it is called an INVERSE floater, tard.

Just like 1994.

Wrong.

The buyers of the inverse floaters will take a huge loss.

And the sellers will have a gain, moron.

Christ Almighty, were you in a coma in 2008? Were you an infant or not yet born in 1994? 1998?

 

[Weatherman2020]

Dipshits misspelled Treasuries: Bond market braces for $ 1 trillion tsunami of Treasurys this year

Trump's Tard Herd has been deliberately kept in the dark to the fact that Trump ran up $666 billion in new debt last year. That's the highest deficit of any President in American history other than Obama.

And now, another trillion is about to hit the fan.

You see, pseudocons think if you keep adding more to your credit card, your payments don't have to go up.

In fact, Trump just lowered their credit card payment (tax "reform").

What we have here, ladies and gentlemen, is a Ponzi scheme. Trump is issuing debt (borrowing) to pay off the national credit card!

I shit you not.

The tax "reform" transferred $1.5 trillion of debt to our unborn descendants.

As if that isn't a big enough clusterfuck, at today's yields there probably isn't enough demand for Trump's trillion dollar treasuries.

So interest rates will have to rise to entice our enemies to loan us more money.

There are an astronomical number of financial derivatives which will implode if that happens. Derivatives with face values approaching triple digit trillions.


“If demand for U.S. fixed income doesn’t double over the coming years then U.S. long rates will move higher, credit spreads will widen, the dollar will fall, and stocks will likely go down as foreigners move out of depreciating U.S. assets,” said Torsten Slok, chief international economist for Deutsche Bank, in a note.


I warned you. I told you the last time the GOP controlled the whole government they spent like drunken sailors in a whorehouse.

Screw the millennials, they are moronic good for nothings anyway. Let's party on their dime.

 

[g5000]

The implosion of AIG FP blows any idiot argument that derivatives are zero sum out of the water.

 

[Doc1]

They won't have any choice but to raise rates.

They won't be able to sell Trump's debt unless they do.

It's not the Fed which will take us down. It is profligate spending by Trump and all who preceded him.

LOL, he, like every other Prez works for the Bankers. He will do what the Fed tells him to do.

The Fed did not tell the GOP and Trump to overspend. The American people did. The pseudocons CHEERED when Trump overspent on tax "reform".

You are talking out of your ass.

Dope speaks fluent shit, no big surprise

"Dope" regularly kicks your ass, sucks to be you.

pretend I give a fuck what you yammer about - then pretend you grew up.

LOL, you poor little boy. Tell me son what is the detriment of fractional reserve monetary policy? Either that or shut the fuck up.

 

[MarathonMike]

Did you have this much concern about the debt when Obama went on his tear adding nearly 70% of new debt to the 11 Trillion that Bush left us?