Capital Markets Vote against Obama

[CrusaderFrank]

The bond market is willing to pay more for debt issued by Warren Buffett than for debt of the USA under Obama.

"Two-year notes sold by the billionaire’s Berkshire Hathaway Inc. in February yield 3.5 basis points less than Treasuries of similar maturity, according to data compiled by Bloomberg."

The Capital Markets have spoken and they are selling ObamaCare and the USA under Obama and Pelosi short.

Dems face history loses this November.

"Where were you in 2010 when the Dems lost 100+ House seats, Daddy?"

Obama Paying More Than Buffett as Bonds Show U.S. Losing AAA - Bloomberg.com

 

[rightwinger]

More wistful thinking..

Healthcare has passed and it is a great day for all Americans. They will wake up tomorrow, the sun will still be shining, there will be no death panels and granny will still be alive.

Now the Republicans have to run on REPEAL HEALTHCARE. Convince America you want to take back what they have just won. Tell 37 million voters you want to take back their healthcare

Republicans are once again on the WRONG SIDE OF HISTORY

 

[CrusaderFrank]

More wistful thinking..

Healthcare has passed and it is a great day for all Americans. They will wake up tomorrow, the sun will still be shining, there will be no death panels and granny will still be alive.

Now the Republicans have to run on REPEAL HEALTHCARE. Convince America you want to take back what they have just won. Tell 37 million voters you want to take back their healthcare

Republicans are once again on the WRONG SIDE OF HISTORY

See you in November

 

[Toro]

Meh. The bond market is schizophrenic. At the end of Bush's term, the bond market was adjudging the US government as riskier than Campbell Soup.

The cost to hedge against losses on U.S. Treasuries surpassed the price of default protection on bonds from Campbell Soup Co. and drugmaker Baxter International Inc. as government spending on stimulus packages grows.

Credit-default swaps on U.S. government debt in euros for five years are trading at 67 basis points, according to CMA Datavision, meaning it costs 67,000 euros ($87,24 0) to protect 10 million euros of debt. Contracts on Campbell of Camden, New Jersey, were quoted at a mid-price of 50.4 basis points today, and Deerfield, Illinois-based Baxter contracts were at 54.2 basis points, CMA data show.

U.S. Treasury Protection Costs Surpass Campbell Soup on Bailout - Bloomberg.com

 

[Dr Grump]

Won't a lot of voters be pleased with these new measures? Therefore they'll vote for the Democrats?

 

[del]

Meh. The bond market is schizophrenic. At the end of Bush's term, the bond market was adjudging the US government as riskier than Campbell Soup.

The cost to hedge against losses on U.S. Treasuries surpassed the price of default protection on bonds from Campbell Soup Co. and drugmaker Baxter International Inc. as government spending on stimulus packages grows.

Credit-default swaps on U.S. government debt in euros for five years are trading at 67 basis points, according to CMA Datavision, meaning it costs 67,000 euros ($87,24 0) to protect 10 million euros of debt. Contracts on Campbell of Camden, New Jersey, were quoted at a mid-price of 50.4 basis points today, and Deerfield, Illinois-based Baxter contracts were at 54.2 basis points, CMA data show.

U.S. Treasury Protection Costs Surpass Campbell Soup on Bailout - Bloomberg.com

that may have been because it was.

 

[rightwinger]

More wistful thinking..

Healthcare has passed and it is a great day for all Americans. They will wake up tomorrow, the sun will still be shining, there will be no death panels and granny will still be alive.

Now the Republicans have to run on REPEAL HEALTHCARE. Convince America you want to take back what they have just won. Tell 37 million voters you want to take back their healthcare

Republicans are once again on the WRONG SIDE OF HISTORY

See you in November

Gladly Frankie..

Run on a REPEAL HEALTHCARE platform and you will lose more seats than you currently hold

 

[Xenophon]

Won't a lot of voters be pleased with these new measures? Therefore they'll vote for the Democrats?

When they are FORCED to buy healthcare or face a fine?

When their taxes increase and their abilty to get coverage goes down?

When the deficiet explodes to the point where the US can't pay the interest let alone the principle?

The only pedople voting Dem are their hardcore, the usual 44%.

 

[Xenophon]

More wistful thinking..

Healthcare has passed and it is a great day for all Americans. They will wake up tomorrow, the sun will still be shining, there will be no death panels and granny will still be alive.

Now the Republicans have to run on REPEAL HEALTHCARE. Convince America you want to take back what they have just won. Tell 37 million voters you want to take back their healthcare

Republicans are once again on the WRONG SIDE OF HISTORY

See you in November

Gladly Frankie..

Run on a REPEAL HEALTHCARE platform and you will lose more seats than you currently hold

^So speaks the baghdad bob of Democrats.

 

[CrusaderFrank]

Meh. The bond market is schizophrenic. At the end of Bush's term, the bond market was adjudging the US government as riskier than Campbell Soup.

The cost to hedge against losses on U.S. Treasuries surpassed the price of default protection on bonds from Campbell Soup Co. and drugmaker Baxter International Inc. as government spending on stimulus packages grows.

Credit-default swaps on U.S. government debt in euros for five years are trading at 67 basis points, according to CMA Datavision, meaning it costs 67,000 euros ($87,24 0) to protect 10 million euros of debt. Contracts on Campbell of Camden, New Jersey, were quoted at a mid-price of 50.4 basis points today, and Deerfield, Illinois-based Baxter contracts were at 54.2 basis points, CMA data show.

U.S. Treasury Protection Costs Surpass Campbell Soup on Bailout - Bloomberg.com

That's misleading in a 10b5 way.

We're talking about 2-year T bills trading at 350 basis point higher than Berkshire Hathaway AFTER TARP and AFTER Stimulus and NOT in the middle of the meltdown.

 

[Toro]

Actually, I'd like to thank Frank for posting the OP. Though I see it over on the Bloomberg web site, it isn't often that one gets a guaranteed money-making trade idea on a political chat room.

 

[Dr Grump]

Won't a lot of voters be pleased with these new measures? Therefore they'll vote for the Democrats?

When they are FORCED to buy healthcare or face a fine?

When their taxes increase and their abilty to get coverage goes down?

When the deficiet explodes to the point where the US can't pay the interest let alone the principle?

The only pedople voting Dem are their hardcore, the usual 44%.

The ability to get coverage is always going to be a problem - under any system - there are just not enough hospitals or practitioners to go around..

It will be interesting to see if taxes do indeed go up...

Well, the current deficit has little to do with healthcare...

 

[Toro]

Meh. The bond market is schizophrenic. At the end of Bush's term, the bond market was adjudging the US government as riskier than Campbell Soup.

The cost to hedge against losses on U.S. Treasuries surpassed the price of default protection on bonds from Campbell Soup Co. and drugmaker Baxter International Inc. as government spending on stimulus packages grows.

Credit-default swaps on U.S. government debt in euros for five years are trading at 67 basis points, according to CMA Datavision, meaning it costs 67,000 euros ($87,24 0) to protect 10 million euros of debt. Contracts on Campbell of Camden, New Jersey, were quoted at a mid-price of 50.4 basis points today, and Deerfield, Illinois-based Baxter contracts were at 54.2 basis points, CMA data show.

U.S. Treasury Protection Costs Surpass Campbell Soup on Bailout - Bloomberg.com

That's misleading in a 10b5 way.

We're talking about 2-year T bills trading at 350 basis point higher than Berkshire Hathaway AFTER TARP and AFTER Stimulus and NOT in the middle of the meltdown.

I so wish you were right. I could literally make tens of millions of dollars if you were.

The BRK bonds are trading at 3.5 bps, not 350 bps under. If that were true, BRKs 2y would be yielding -2.5%.

 

[Xenophon]

Won't a lot of voters be pleased with these new measures? Therefore they'll vote for the Democrats?

When they are FORCED to buy healthcare or face a fine?

When their taxes increase and their abilty to get coverage goes down?

When the deficiet explodes to the point where the US can't pay the interest let alone the principle?

The only pedople voting Dem are their hardcore, the usual 44%.

The ability to get coverage is always going to be a problem - under any system - there are just not enough hospitals or practitioners to go around..

It will be interesting to see if taxes do indeed go up...

Well, the current deficit has little to do with healthcare...

It has everything to do with it.

What they are voting for now is unfunded, they took out the payment process to get a positive CBO score.

The first move the Dems plan after the vote is called 'the Doc fix' which will add over 800 billion to the deficiet rightaway, and between 3-11 trillion depending on who you believe in 20 years.

Its a financial nightmare for America that it can't possible afford.

 

[Dr Grump]

I so wish you were right. I could literally make tens of millions of dollars if you were.

The BRK bonds are trading at 3.5 bps, not 350 bps under. If that were true, BRKs 2y would be yielding -2.5%.

Got any advice on Aussie stocks Toro?

 

[Dr Grump]

It has everything to do with it.

What they are voting for now is unfunded, they took out the payment process to get a positive CBO score.

The first move the Dems plan after the vote is called 'the Doc fix' which will add over 800 billion to the deficiet rightaway, and between 3-11 trillion depending on who you believe in 20 years.

Its a financial nightmare for America that it can't possible afford.

The current deficit has nothing to do with healthcare.

IF you are right, it will add to it....although I'm not as pessimistic as you are. Would love to see how the figures break down....

 

[Toro]

I so wish you were right. I could literally make tens of millions of dollars if you were.

The BRK bonds are trading at 3.5 bps, not 350 bps under. If that were true, BRKs 2y would be yielding -2.5%.

Got any advice on Aussie stocks Toro?

My advice is to never take advice from an anonymous poster in a chat room.

But if you wish not to heed that wise advice, watch China very, very closely. I won't want to own anything Australian when China inevitably breaks down.

 

[Dr Grump]

My advice is to never take advice from an anonymous poster in a chat room.

But if you wish not to heed that wise advice, watch China very, very closely. I won't want to own anything Australian when China inevitably breaks down.

I'd take any advice with a grain of salt - whether it be in a chat room or in real life...you seem a canny investor...

What makes you think China will break down? I know they take a lot of minerals from Oz, but they have a huge population to service and keep fed.

 

[Dirk the Daring]

More wistful thinking..

Healthcare has passed and it is a great day for all Americans. They will wake up tomorrow, the sun will still be shining, there will be no death panels and granny will still be alive.

Now the Republicans have to run on REPEAL HEALTHCARE. Convince America you want to take back what they have just won. Tell 37 million voters you want to take back their healthcare

Republicans are once again on the WRONG SIDE OF HISTORY

WOW. And with that, RW exposes himself/herself as a racist woman-hater. Republicans were responsible for freeing the slaves, women's suffrage and civil rights, and apparently those are the 'WRONG SIDE OF HISTORY.'

Appreciate you clarifying you positions....

 

[Toro]

My advice is to never take advice from an anonymous poster in a chat room.

But if you wish not to heed that wise advice, watch China very, very closely. I won't want to own anything Australian when China inevitably breaks down.

I'd take any advice with a grain of salt - whether it be in a chat room or in real life...you seem a canny investor...

What makes you think China will break down? I know they take a lot of minerals from Oz, but they have a huge population to service and keep fed.

There are enormous imbalances in the Chinese, and by extension global, economy. China spends too much on fixed plants, and has too much manufacturing capacity. Its $2+ trillion in reserves is enormously destabilizing. Inflation is bleeding into the economy. The stimulus has been rammed through the financial system - unlike anything we've seen here in America - which has lead to excessive speculation and mal-investment. This has lead to commodity prices that are too high. There is a housing bubble in China now.

I don't think that China is going to crash soon, though I could be wrong. But if monetary policy begins to get tight, you aren't going to want to be near anything commodity related. That goes for Canada too, which I plan on shorting in a big way some time in the future. I may do so with Australia as well. Don't know when though.

China has a great future in front of it but that doesn't mean there aren't going to be booms and busts. America, and Australia, had numerous booms and busts when they were emerging economies. China will too.