Personal Finance and Investing

No one, and I mean NO ONE wants major changes to the way things are run, with the exception of regulations. They always want less, of course.

But major changes to monetary policy or screwing with our debt (ie: Treasury bonds and their value) is not something I think Trump will be allowed to fuck with.

Bear in mind that as we speak (or type, as the case may be) the Treasury is and has been retiring 30 year bonds from the REAGAN era, when yields were as high as 13% and coupons were regularly 10%. That money is being refinanced at unbelievably low rates right now, and no one with any brains whatsoever wants to fuck with that. Someone will surely bend Cheetoface's ear and tell him in 2nd grade language how the Treas. bond market works and that he had better not fuck with it.

Having said that, I'm going to watch Treasury bond trading volume and yield. If volume spikes in the weeks and months after inauguration and yield skyrockets, that means there is a selloff happening. That would mean the rest of the world is beginning to have concerns about our ability to meet the coupon and redemption requirements. If that sentiment takes hold completely, we are well and truly fucked.

I think that is a long shot, personally. Like I said, someone will pull that asshole aside and tell him what's what.