Thursday, August 22, 2019

#25thamendment

That was the number one trending hashtag worldwide yesterday after a press conference by the One Chosen by Putin. An unusually bad week by the Erratic One will do that. And even by his standards it was really bad. Greenland; the Prime Minister of Denmark "nasty;" cancellation of his trip to Denmark; Democratic Jews are "disloyal"; lashing out at the Federal Reserve. That last seems to be the main reason for this particularly florid outbreak.

For the third time in ten days the price of borrowing money in the short term was higher than the price of borrowing money in the long term. Think about that. When you go to buy a CD and are deciding between a five year rate and a 60 day rate you expect as a law of nature that you're going to get a higher return over five years than 60 days, right? I mean duh. So what has happened three times in ten days is a weird inversion of that law of nature: you get a higher return on a 60 day CD than a five year. Hmm. Yeah, BIG hmm. It's called an inverted yield curve.

Now why would an inverted yield curve be driving Trump deeper into psychosis? On accounta every time in the last fifty years the yield curve inverted there has been a recession. An inverted yield curve is sorta the canary in the coal mine. Once that bird drops it's not safe to enter and if there is a recession in Amerika 2.0 it is not safe for Trump to enter an election year. He would become a "Loser." So Trump's losing it.