>>“If we play our cards right, we’ll be on easy street! Or my name isn’t Honest John!” https://www.youtube.com/watch?v=lDnva_3fcTc What’s more, the stated intent of the American Rescue Plan Act is a lie. The bill has little to do with rescue from the COVID-19 pandemic. But it has everything to do with being a giant giveaway… Pension fund bailouts ($86 billion). State, local, and tribal governments bailouts ($350 billion). Transportation provisions ($62.9 billion), including a new $2 billion gravy train for Amtrak. Agriculture relief ($10.4 billion). Cybersecurity funding ($3.67 billion). Rental assistance ($21.6 billion). Homeowner assistance ($10 billion). Funding for colleges and universities ($40 billion). Extensions to expanded unemployment benefits and stimmy checks (too much to tally). And much, Much, More… Hee-haw? HEE-HAW! The Great Donkification “Go too far. Stay too long. Can’t get back.” – Words of an old preacher The U.S. national debt has now eclipsed $28 trillion. The budget deficit for the 2021 fiscal year will likely run up to nearly $3 trillion – possibly more. Hence, it will be financed with printing press money…that is credit created from thin air by the Federal Reserve and loaned to the Treasury. Hee-haw? HEE-HAW! Moreover, after two decades of extreme monetary intervention and several rounds of stimmy checks the economy has been led to dependency. Institutions, individuals, and businesses have been donkified. There’s no going back. What remains is a terrible choice… Voluntary abandonment of further credit expansion and a crisis now. Or further credit expansion and the final and total catastrophe of the dollar system later. Hee-haw? HEE-HAW! This week the Fed doubled down – again – on the great donkification…and total catastrophe of the dollar system later. On Wednesday, the Fed issued its FOMC statement. In the spirit of Jack and Jenny Assery, the Fed will hold the federal funds rate near zero until at least 2023. The Fed will also continue to create credit from thin air to buy $80 billion per month of Treasuries and $40 billion per month of mortgage backed securities (MBS). @Titus_of_Voat Hee-haw? HEE-HAW! But what’s this? Are the stubborn donkeys now inhibiting Powell’s grand plans? On Thursday, as if to spite Powell, the yield on the 10-Year Treasury note topped 1.75 percent. By our estimation, this puts us now about 30-basis points to disaster. In anticipation, the NASDAQ dropped over 400 points. Hee-haw? HEE-HAW! Such is the curse of the great donkification. To break it, there’ll be hell to pay. https://www.zerohedge.com/economics/great-donkification?commentId=79c90024-72a7-4194-8cbd-8ba9c50535e9