If I want to frontrun the retards, what do I buy? Maybe #solar stocks are going to become extremely overvalued. Slap a 100x P/E on $FSLR and it is worth $500 at current earnings, about 5x current price.
If you're an ESG manager who can't buy energy/mining, what do you if there's an inflation/stagflation? What do you buy? Do you sit in tech and take a 90% inflation-adjusted loss? What do you buy/rotate into?
Democrats are debating a spending bill minimum $1.5 trillion. The bill cannot be implemented if the debt limit isn't raised. Neither GOP nor Democrats have ever cut spending from year to year. The whole thing is a farce.
If debt limit not raised and spending cuts implemented, the economy would go into recession. Interest rates would collapse, the US dollar would soar, commodity prices would collapse. Major deflation.
If the debt limit isn't raised and they decide to default in response, the economy would collapse. Nero supposedly fiddled while Rome burned. This would be intentionally setting the US economy on fire.
If they intentionally defaulted, interest rates would soar, the US economy would collapse, the dollar would soar or collapse so much it wouldn't make a big diff in terms of the destruction.
All federal spending is discretionary. The Fed's have sovereign immunity. They can cut SS payments to the wealthy, slash defense spending, etc. They can implement all manner of cuts to avoid default.
They don't want cuts, so they will raise the limit