.png)
UST 10's 4.78% / Bessent, Warsh kick off G20 with growth focus still, as Global Bond Yields hit highest level since 2008
- sc0172
- 11 minutes ago
- 3 min read
G20 focus : Andrew Bailey warns G20 of danger AI poses to financial system, For the financial system, the most immediate concern is the potential impact of frontier AI on cyber risk., Bessent and Warsh singing the gospel of growth, let's grow out of this debt problem, run it hot, keeping inflation firm
Markets : The global bond crisis in full swing, 10's UST 4.78%, JGB's, Europe not spared higher with higher yields, the only 'real' way out is LESS SPENDING, lower social spending and/or higher taxation for corps - both are negative for Equity earnings, UST 30-Year bond enters September on its worst stretch since 2006, Bessent says he expects Japan to take action to boost yen, 10's JGB's hit 3% yields overnight >>> USD slightly firmer during JH, but debasement trade could reappear soon as Bessent-Warsh team want growth at all cost it seems, spend spend spend, which is not going to bring inflation down any time soon.., they will continue with 'growth' plan, until the bond market tells them they are wrong, when say 10's UST hits 5.25%+
THE REALITY is this, public stimulus does not stimulate, printing cash does not help wage earners ( au contraire), if governments are worries about affordability (inflation, purchasing power etc), stop asking for more government spending!!!.. (chart available on request)
Iran update : A tanker was struck by three unknown projectiles while transiting eastbound through the Strait of Hormuz on Monday. Iran’s Islamic Revolutionary Guard reported on Monday the interception of a U.S. MQ-9 drone over the eastern Strait of Hormuz. While neither side appeared to be seeking a return to full-scale war, both signaled they were prepared to respond to further attacks. (CNBC) => oil prices rise, Brent above $91, meanwhile a reminder this is still going on : Narendra Modi urged Vladimir Putin to end the war in Ukraine. “We’re moving in this direction,” the Russian leader said at the SCO summit, without elaborating. (BBG), Bessent told Russian Minister no economic relief until war is over
China: “We will never allow Russia to use nuclear weapons.” Russia’s ability to escalate begins and ends in Beijing. Russia has redirected 80% of its oil exports towards China and India
More public control is the way to grow UK economy, Burnham to tell MPs, PM wants to ‘bring back hope’ by tackling cost of living as MPs call for electoral reform
Barchart on X: "Global Bond Yields hit highest level since the Global Financial Crisis 🚨 https://t.co/Sia55UJwse" / X
Marcos Agustín on X: "🇪🇺🇨🇳 China: “We will never allow Russia to use nuclear weapons.” Russia’s ability to escalate begins and ends in Beijing. 🔸 Russia has redirected 80% of its oil exports towards China and India. 🔸 China absorbs 50% of Russia’s crude-oil exports 🔸 Around 80% of the https://t.co/38XAvR4jgx" / X
More public control is the way to grow UK economy, Burnham to tell MPs | Andy Burnham | The Guardian
Beware out there ! Nepal, Gran Canyon and many more around the world sadly.. About 15 people missing after flash flood at Grand Canyon - CNA
The Telegraph on X: "Germany’s economy is showing surprising signs of strength, with confidence rebounding, factories taking more orders and growth at its fastest since 2022. But the recovery could be short-lived. The country faces the prospect of a winter gas shortage that could send energy bills https://t.co/o7LIwg7YLt" / X
Comments