Based on current events in the US 10y and 30y bonds, the end is coming quicker than people think or are prepared for.
I really don’t see a way out of this that isn’t high inflation (about 15%), lower dollar valuation, bonds taking a huge hit, unemployment moving up, etc.
I mean, just look at AI capex. It’s directly competing for US debt - and if the AI bet works out - results in even less taxable income for the government as human capital is replaced by AI. For something like 40 states, the biggest employer is healthcare/insurance intermediaries, which are absolutely ripe for replacement.
/remindme! I’d bet gold price doubles in the next 2 years.
I really don’t see a way out of this that isn’t high inflation (about 15%), lower dollar valuation, bonds taking a huge hit, unemployment moving up, etc.
I mean, just look at AI capex. It’s directly competing for US debt - and if the AI bet works out - results in even less taxable income for the government as human capital is replaced by AI. For something like 40 states, the biggest employer is healthcare/insurance intermediaries, which are absolutely ripe for replacement.
/remindme! I’d bet gold price doubles in the next 2 years.