"Since last November, the U.S. Federal Reserve has been buying U.S. Treasury bonds at a rate of about $75 billion a month. That's part of Fed Chairman Ben S. Bernanke's "QE2" program, under which the central bank was to buy $600 billion of the government bonds.
But QE2 ended yesterday (Thursday), meaning the Fed will no longer be a big buyer of Treasury bonds.
So starting today (Friday), the U.S. Treasury needs to sell twice as many Treasury bonds to end investors as it had been.
But the problem is, who's going to buy them?
Not China, which is diversifying its trillions in assets to get as far away from the U.S. dollar as fast as it can.
Not Japan, which is trying to rebound from its March 11 earthquake, tsunami and nuclear disaster - and is focusing all its spending on reconstruction.
And - as we've seen -neither is the Bernanke-led Fed.
Funny you would post this. I was talking to a friend of mine who voted for Obama (I know friends don't let friends vote democrat). And he said that he will probably vote for him for a second term. I was shocked because I feel as you do that Obama is an abject failure. But he put a spin on it and convinced himself that Obama deserves reelection. He said that the guy is tough on terrorism because of Bin Laden's death. And that he's kept the crazy's in check, N. Korea, Iran, etc. And loves what he's doing in Libya.
As for the economy he said that since he inherited a mess it will take him two terms to dig out.
So there you have it. And this guy isn't the typical 20 year old Obama lacky you see on T Nation. He has a degree from a prestigious university is 45 years old and does pretty well for himself.
Go figure huh?
I've been predicting, Obama will get a second term. There are millions of people who just don't see the disaster that others see. And, which is always my final question, who beats Obama in a general election?
It will always come down to the specific candidate and the sort of campaign that he or she can run. But right now Obama is the favorite to win the White House once again, so don't kid yourself.
I too encounter people who're pretty ardent for Obama, and then it hit me: These folks are employed. They don't personally see the tragedy of trying to make the mortgage payment or pay the electric bill w/o a paycheck.
So...I found that no sitting president since FDR has won re-election with an unemployment rate above 8% (except possibly Reagan but the rate was plunging fast in 1984). Of course, that sort of rate is fairly rare to begin with since WWII.
I guess everything hinges on JOBS. And if interest rates shoot up, that will NOT get better.
The biggest problem with GOP politicians is that they consistently make themselves seem not smart. I really have a hard time thinking of any that I would think of as intelligent and level-headed.
Republicans in general, I think, are going to have a hard time seperating themselves from the image created by groups like the Tea Party and even westboro.
I think that when a lot of people think of the republican party, they think or bigotry, ignorance, close-mindedness, intolerance, and overly biased. People refer to them as the party of "No," because they seem to say no to everything, including progress.
I tried really hard there to not reveal my beliefs, so don't go flaming me for posting my perception of what many other people think.
You're perception is so distorted it's laughable. Did the MSLM tell you that the Tea Party was a bad thing? Maybe you better check how many Tea Party candidates won in the most recent election. On the contrary, the majority didn't find that the GOP was "ignorant" as you assume, quite the reverse in fact. I find your entire post to be full of baseless stereotypical blanket statements. In fact, it's almost like some 19 year old moron wrote it.
perception is important though. The winner of a presidential race is not the best guy for the job, but the guy who can convince enough people that he will be the best guy for the job. Every president has succeeded in being the latter, fewer have actually been the former.
Really now? I'm still making money in the stock market. I'm still able to purchase food at reasonable prices. I just bought a new car at the end of last year. I'm still able to borrow money at very reasonable rates at my local bank.
Well the fact that Obama keeps lying about how the republicans are at fault about the current budget is almost laughable. Did not Obama have super majority in the House and Senate? Why blame the repubs? Does he not still control the house and the ex. Did not the democrat majority led House two years ago defer the budget and passed on down hoping for someone else too fix as he claimed the repubs are doing?
Times are changing and the the fact that we have heard that he wants to use the 14th amendment in order to bypass the house in order to raise the debt ceiling is scary.
"It sounds like the lesson here is that if you?re working your butt off and you still having trouble making those mortgage payments, you should lose your job ? that way you?ll be able to keep your house (because everything?s ass-backwards in Obamaland): The Obama administration said Thursday it would require lenders to allow unemployed homeowners to delay their monthly payments for up to a year without threat of foreclosure.
The announcement came a day after the president made a rare admission of a policy misstep, acknowledging that his policies have failed to provide enough support to struggling homeowners and recognize the scope of the nation?s housing crisis.
So true to form, their ?solution? to this problem will do nothing but create more of the problem, and maybe that?s the whole point. Notice that Obama?s only admission of a mistake isn?t for the Democrats? policies that have crippled the economy, but only for forgetting to bring enough shammies to clean up the ?unexpected? bloody aftermath from the victims of those policies. Truly amazing."