Tom Luongo – Bessent and Co. have a plan.
It’s a long explanation that I don’t entirely understand but the setup and summary comes here.
sic Bessent’s target in announcing LT bond buybacks (but not actually buying them back), is the squeezing of European bond yield spreads which exerts political pressure on keeping their pensions and derivatives in place. This is all part of goal of extracting US economic control from the UK and EU powers.
THANKS FOR POSTING THIS YYZ
Interesting background on this world, its “organized crime syndicates” and the role of banking.
As an aside, I’ve posted on Keynes and modern macro. Kristof has a snippet on Krugman. Well, ca 2012, Aussie renegade economist Steve Keen took on Krugman in LOUD spat over macro econ architecture, and pointed out to all who cared to notice that Keynesian macro theory NEVER involves either banking or debt (although there is a bond and cash market). Ie, how does macro model debt defaults and bank solvency? There’s no provision in the theory for it.