Good News to Kamala's campaign! Now is the chance for her to shine! All she needs to do is solve this little crisis.
They just admitted the financial COLLAPSE is here and they are hiding the reason | Redacted News
So let's cut to the chase.
Japan had held down its interest rates so that investors could borrow the money from the Japanese banks and then use the borrowed money to buy US Tbills at a higher interest rate, so it was like getting free money, which is why people kept buying US bonds.
However, this has caused Japan's yen to collapse and so they finally have raised interest rates. So then the only way the US can continue to get "investors" (that is a euphemism, the companies buying the bonds are mutual funds that American pensions are buying, the dumbest of all investors generally called saps) is to raise the interest rates on their bonds and if they do that our $1.5 trillion in interest payments to service our debt will increase dramatically. Which will start our run away problem where we need to borrow more money to pay the interest on the money which we have already borrowed. To make things worse no one is buying the ten or twenty year bonds. So we are financing our debt with six month, one year and two year bonds. Can you imagine having to refinance $35+ trillion every two years? If we can't sell $1.5 trillion in bonds how are we going to sell $17 trillion in bonds?
This is the roots of this malignant tree drying up.