Why Is Eric Cantor Investing Against U.S.?

[Flopper]

Not really. We are talking about a very small amount of money. If anyone believes interest rates are going to rise and they owned a lot of Treasury bonds, they would hedge against interest rate risk by buying an inverse fund like the one Cantor owns.

PS: the fund is down 30% for the year

Might be a good buy now. However, I think if a public official is in a position to influence the value of a stock or bond, they should not take any position, large or small. It's just not a smart thing to do.

Then all politicians should be required to have ALL of their investments held in blind trusts.

One could make the case that ANY politician can influence the value of any company or bond. They can make a vote, a statement, a press release....etc...

I think they should. Most presidents and governors do.

 

[rdean]

The OP is retarded and wrong. It is not a bet against the US, it is a bet that interest rates will rise. Plenty of people are making the same bet. With the tiny amount of money involved it is most likely a hedge position.

You are wrong. It's a bet against the US. Cantor - he "represents" his base. Money at any price. And I mean ANY price.

 

[Lars]

The OP is retarded and wrong. It is not a bet against the US, it is a bet that interest rates will rise. Plenty of people are making the same bet. With the tiny amount of money involved it is most likely a hedge position.

You are wrong. It's a bet against the US. Cantor - he "represents" his base. Money at any price. And I mean ANY price.

How is betting on higher interest rates betting against America? It's the right bet as well, because unless the Federal Reserve wants to do another round of quantitative easing and risk high inflation, interest rates will go up.

 

[OohPooPahDoo]

From the Wall Street Journal, so wingnuts cannot bitch about the source:

What do Bill Gross, Evan Newmark and Rep. Eric Cantor have in common? They’re all betting against Treasury debt!

But only one of these men has been involved in heated negotiations over the government’s debt ceiling, and that’s Eric Cantor, No. 2 Republican in the House.

Mr. Cantor, who walked out of debt discussions with Vice President Joe Biden last week, owns up to $15,000 in shares of the ProShares Trust Ultrashort 20+ Year Treasury ETF, Salon notes today, updating a Wall Street Journal report on this from last year.

Salon argues this means Mr. Cantor has a conflict of interest in the debt negotiations. Conventional wisdom holds that letting the talks fail would roil the bond market, hurting Treasurys, which would benefit Mr. Cantor. The TBT is up 3% since Mr. Cantor walked out of debt talks.
​

LINK

Anyone who invests in a leveraged ETF is a moron.

 

[Douger]

The Wall Street Journal said it. This guy is a textbook example of a sell-out.

It isn´t sell out. It´s intelligence.
Nobody with half a brain would invest in murka since the A vanished years ago.
There is no recovery this time. Get used to it.
Natural disasters-----remember the tornadoes, or did Casey make you forget------caused the minute increase in jobs and domestic production.They pray for major hurricanes.OH LOOK RECOVERY ! Wheeeeeeeeeeeeee.

 

[WillowTree]

From the Wall Street Journal, so wingnuts cannot bitch about the source:

What do Bill Gross, Evan Newmark and Rep. Eric Cantor have in common? They’re all betting against Treasury debt!

But only one of these men has been involved in heated negotiations over the government’s debt ceiling, and that’s Eric Cantor, No. 2 Republican in the House.

Mr. Cantor, who walked out of debt discussions with Vice President Joe Biden last week, owns up to $15,000 in shares of the ProShares Trust Ultrashort 20+ Year Treasury ETF, Salon notes today, updating a Wall Street Journal report on this from last year.

Salon argues this means Mr. Cantor has a conflict of interest in the debt negotiations. Conventional wisdom holds that letting the talks fail would roil the bond market, hurting Treasurys, which would benefit Mr. Cantor. The TBT is up 3% since Mr. Cantor walked out of debt talks.
​

LINK

He's a little white Jewish guy. Synthis,, why do you hate little WHite Jewish guys? Are you a racist?

 

[midcan5]

What I find despicable about Cantor and many other politicians is the benefits they have and their attitudes towards other citizens who have none. They have the best pensions, health care, work environment, lots of help, and numerous other perks and yet they want to deprive the average citizen of a basic safety net. Are they pure scum, self centered narcissists, or is there a reasonable explanation for an attitude that seems anti-American citizen? One wonders how they hold so many contradictions in their heads? The moral American has died, anyone know the exact date?

 

[editec]

Our current crop of POLs complete with their fonflicted interests leads one to the conclusion that this nation needs to create a bureaucracy of disinterested scholars who have no vested interest in outcomes and whose sole purpose is to advance this nation's interests.

Right now we have the major players in the field but who are ALSO our game's referees.

The kind of people who end up running out government also happen to be exactly the same kind of people who, when not in office, are gaming the system.

 

[iamwhatiseem]

If President Obama had even one dollar invested where he would profit from America's economy crashing, you can better believe it'd be on the front page of every major news source.

No it wouldn't.
Maybe Fox but that would be it.

 

[theHawk]

What I find despicable about Cantor and many other politicians is the benefits they have and their attitudes towards other citizens who have none.

What exactly is his attitude towards citizins with no benefits at all?

They have the best pensions, health care, work environment, lots of help, and numerous other perks and yet they want to deprive the average citizen of a basic safety net.

Really? They have "the best pensions, health care, work environment" than everyone else? Including millioniares and billionaires? Interesting theory but I'd like to see some proof backing up that statement. I would think being a representative would be a tireless job with low pay and having to deal with idiots and threats all the time.
Also, what proof do you have that he or anyone else wants to "deprive the average citizen of a basic safety net"? Most Republicans want to let citizens keep more of their own money that they earn and have the freedome to purchase or invest in their own security and "safety nets".

Are they pure scum, self centered narcissists, or is there a reasonable explanation for an attitude that seems anti-American citizen? One wonders how they hold so many contradictions in their heads? The moral American has died, anyone know the exact date?

Sounds like you are describing leftists now.

 

[auditor0007]

This truly is a non-issue. The guy has a small amount of money invested in this. Most of his investments would take a huge hit were the government to default. It's a bit like saying that someone who bought a used Toyota for their kid is anti-American for not buying American, even though he just bought a brand new $50,000 Cadillac for himself.

 

[Sallow]

If President Obama had even one dollar invested where he would profit from America's economy crashing, you can better believe it'd be on the front page of every major news source.

You mean it would be a lead story on Fox.

The rest would remain silent.

SOP.

Is it a lead story anywhere?

I mean..you guys completely dismissed that two big oil men, Bush and Cheney..held a secret meeting with oil men..then the price of oil shot up after we invaded an oil rich nation.

You guys were like "Nothing to see here, buckos".

 

[Synthaholic]

If President Obama had even one dollar invested where he would profit from America's economy crashing, you can better believe it'd be on the front page of every major news source.

You mean it would be a lead story on Fox.

The rest would remain silent.

SOP.

Is it a lead story anywhere?

I mean..you guys completely dismissed that two big oil men, Bush and Cheney..held a secret meeting with oil men..then the price of oil shot up after we invaded an oil rich nation.

You guys were like "Nothing to see here, buckos".

No, it is not.

So much for the wingnut's "liberal media" nonsense.

 

[whitehall]

In case you didn't notice we still have a socialist president and a brain damaged V.P. and a crook in charge of the senate majority. Who cares about Canter's piddling investments as long as it is legal? Anybody have an idea of Barney Frank's investments while he told us Fannie was solvent and it was really going under? This micro-focus on republican investments in the left's never-ending quest for a far-fetched hypocrisy issue is tiresome and it is getting border-line humorous. Find another blog site besides the tax-exempt Soros stuff and Huffing and give us some fresh ideas lefties if you are still able to think for yourselves.

 

[Dot Com]

You don't buy a treasury inverse fund unless you expect poor performance such as would occur if the debt ceiling talks turn into a stalemate. The opposition could make a pretty good case for conflict interest. This was not a smart move for Cantor.

Not really. We are talking about a very small amount of money. If anyone believes interest rates are going to rise and they owned a lot of Treasury bonds, they would hedge against interest rate risk by buying an inverse fund like the one Cantor owns.

PS: the fund is down 30% for the year

Might be a good buy now. However, I think if a public official is in a position to influence the value of a stock or bond, they should not take any position, large or small. It's just not a smart thing to do.

The guy was on the Senate Debt talks Commission before he.....you guessed it....."quit" just like Hatch (R)
http://thecaucus.blogs.nytimes.com/2011/06/23/cantor-quits-bidens-debt-ceiling-talks/

 

[OohPooPahDoo]

This truly is a non-issue. The guy has a small amount of money invested in this. Most of his investments would take a huge hit were the government to default. It's a bit like saying that someone who bought a used Toyota for their kid is anti-American for not buying American, even though he just bought a brand new $50,000 Cadillac for himself.

Dude, what the fuck? Is the person buying the used Toyota writing laws to put American brands out of business at the same time, or is he merely a market participant?

Do you understand the concept of CONFLICT OF INTEREST? He's writing laws that will determine whether or not the fund he owns becomes worth a lot more - and you don't see a fucking problem with that?

 

[OohPooPahDoo]

In case you didn't notice we still have a socialist president...

No shit, according to ignorant teabaggers like you, we've had a socialist president since 1788.