I'm trying to wrap my mind around someone bankrupting for casinos.
a business in which they take in like eleventy bajillion times what they pay out
As for tariffs, they accomplished nothing but making the American consumer have to pay more for everything.
That just is not the case. Since April it was noticeable in quarterly earnings reports. After this latest quarterly earnings it was seen because a full quarter of tariffs were in operation. Companies are reporting higher sales however, less profit. Reason being they were paying a higher cost for sales. When you looked into the guidance they explained the reason is the tariffs as they are paying them and not passing the cost on.
Some companies in their earnings call just came out and said that they could not pass them on because the American market has been hit with high inflation and stubborn extended inflation. So we are still seeing higher prices, it is inflation. The latest CPI numbers show that we have 3% inflation on prices year over year from October of last year.
The NY Times just did a piece on the 24th and they report the same thing I have said. They speculate that companies won't be able to keep doing it for much longer. So they suspect we will see a rise in prices as the tariffs get passed along.
I am not so sure because the latest out of the Fed at FOMC is they are dropping the Fed rate. They also said that they are going to stop quantitative tightening.
Quantitative easing is leveraging and tightening is deleveraging. Our money is borrowed into existence. So when a loan is paid off we delete or destroy the money from the money supply. So since our money is borrowed into existence when a loan is paid off we end it's existence.
That is what tightening is the Fed lets it fall off after it is paid so it tightens the money supply. In their latest implementation guidance. They have said they are going to rollover all Treasuries. What that means is when one is paid off they are going to take that cash and go buy a likewise one. Which will be a sideways movement one were it is not moving up or going down just staying steady
However, they said that they are going to buy treasuries with retired agency bonds Agency bonds are mortgage backed securities. That is going to place pressure on mortgage securities so I don't believe we will see a real fall in mortgage rates.
It also may work as a back door QE because now government knows it will have a built in buyer for treasuries with agency bonds being rolled over to buy treasuries. So any leveraging I believe we will see increased inflation. Which if that happens I think companies will have to eat the tariffs longer because they are aware that their customers are not in a position for a rise in prices.
Anyway here is a link for the NY Times article that explains companies are eating the tariffs and their reason they find that it won't be for much longer.
https://www.nytimes.com/2025/10/24/...ded-buyers-from-tariffs-but-not-for-long.html