Does Obama’s INABILITY to sell five year notes show early signs that his WASTE is DRYING UP his CREDIT?

Susiepolls2008 asked:


Yesterday marked the first time that Obama and Waste, Inc. encountered their first extreme difficulties in finding individuals to buy treasury bonds to funds his out of control spending habits. By erasing America’s ability to raise money through treasury bonds he has laid critical groundwork to bankrupt this nation possibly within a year’s time.

There are limits to how much the government can borrow without consequence — a fact underscored Wednesday when the Treasury had unexpected trouble selling five-year notes to cover Washington’s enormous borrowing. It might have been a hiccup, but it roiled the stock market and sent a worrying signal that Treasury might have to offer higher interest rates, which could throw a wrench into the recovery.
http://blogs.usatoday.com/oped/2009/03/huge-deficits-p.html

Filed Under Elections | 4 Comments

who does the national debt is owed to?

bullet b asked:


http://www.optimist123.com/optimist/2006/05/pie_chart_of_wh.html

check this site out. over 3.5 trillion debt is owned by the government. and another 2.6 trillion owned by the public so we own most of the debt of our country. i always had a question was this thing called federal national debt, is that what the people owe the government because i dont know which country would loan america money if america owes 9 trillion to foriegn countries. i would be an idoit to loan money.
the thing about federal trade deficit is how much the foreign countries has of USA dollars. is the USA government buying millions of appreals from china, or some electronics, no, its companies from china having made money selling chinese goods and recieving usa dollars which they dont know where to put the money so they buy up usa treasury bonds. bonds which can be public debt wrapped with the government title so to finance american companies.

Filed Under Personal Finance | 1 Comment

Buying and redeeming Securities directly from U.S. Department of the Treasury?

Tipm asked:


I am very new to investments.As the money in my savings accounts has been dormant for a while without growth, I am planning to invest in securities and treasury Bills (online on the TreasuryDirect website) so I could make some returns by way of investments.
I have only 3 questions:
1.Has anybody done such a venture with the mentioned agency before and what were the merits?
2.Which is the best security to buy, is it bonds or Treasury Bills??
3.Is it safe to quote sensitive info like SS No;bank details, etc online to this agency for this transaction?
Any helpful tip would be highly appreciated!Thanks.

Filed Under Investing | 1 Comment

Investing in Single Bonds as a Small Time Investor?

Alby asked:


Is there anyplace where a small investor can buy bonds? And I don’t mean I-Bonds or any of those direct Government treasuries. But I mean Corporate Bonds that might be yielding 8% or 12%?? Can you buy just (1) Corporate Bond?

Filed Under Investing | 1 Comment

What could we learn from the Chinese?

PeguinBackPacker asked:


The Chinese have a long history of using deception, subtlety and soft methods of keeping other nations in check and ensure its survival. Currently owns the US through buying up a lot of US treasury bonds and has gained may US military secrets by lobbying president Clinton during the 1990’s

What other methods does China use or has used in the past to achieve such ends?

Filed Under Military | 4 Comments

Who owns newly printed $s?

paul g asked:


When the Fed decides to expand the money supply by printing more money, who owns this money when it appears from thin air?

Does the money increase the balance of the US treasury/mint to be then lended to the Fed who then lends it back?

Does it increase the balance of the Fed who then buys treasury bonds with it “for free”?
The gold standard was scrapped in 1933.
Currency is no longer backed by any gold or assets.
It still maintains it’s worth because of consumer confidence: Unless there’s some kind of revolution, you will still be able to use the hypothetically worthless paper to buy stuff from anyone else who thinks they can do the same once they have acquired the paper.
When I say “printing” I don’t rigorously mean hard touchable money.

Filed Under Economics | 2 Comments

brazilian treasury bond?

antelias asked:


i was wondering if i were to buy a 1000 dollars worth of Brazilian treasury bonds with a yield of 15.4% and its a 7 year bond how much money would i end up getting?

and if you could explain how bonds work like how to get paid how you make money off of it that would be really helpfull

thanks

Filed Under Investing | 1 Comment

Will China own America when the economic crisis is over?

BSherman asked:


China keeps buying billions in US Treasury bonds. So what happens when China comes to collect all of the money that America owes it?

Filed Under Current Events | 1 Comment

Is it more patriotic to spend money or save money?

Jane W asked:


What would be better for America’s future.

Option 1: Spend my money on consumer goods so American workers who manufacture and sell these goods will stay employed.

Option 2: Save as much money as I can so the banks have more money to invest and lend and buy our treasury bills and bonds so we do not have to have the Chinese pay for our national debt.

Filed Under Economics | 5 Comments

Should we just buy everything we need from China?

corporal_billy_graham asked:


Almost everything that any American would ever need is made in China and can be bought very cheap at WalMart or some similar place.

So why complain that American jobs are going overseas?

Even if we all end up working menial service jobs, we could still afford to buy stuff at WalMart.

I bought a set of towels there once for about $2.50! What a deal. I wish I could remember what brand they were because I’d like to get some more (I had the throw them out because they kinda disintegrated in the dryer).

WE do not need to make things in America! That is not what we are about, people.

America is about INTANGIBLE THINGS like pride and independence and that good old we can do it attitude! Everything else we can get from China.

BESIDES, China holds more our national debt than ANYBODY ELSE–in the form of BILLIONS AND BILLIONS ofU.S. government debt securities such as Treasury bonds.

So we need to save some money so we can get out of debt to China. So shop at WalMart!

Filed Under Current Events | 3 Comments

« go back — keep looking »

• Recent Posts

  • If you are long a portfolio of investment grade corporate bond but want to eliminate your rate exposure?
  • Chance to get 10 points on Questions and True and false?
  • Question About Investments - bonds, mutual funds, etc?
  • Return on a U.S. Treasury Bond?
  • Any tips on saving for college?
  • when you can’t pay back a loan, the bank can take your house, if america don’t pay back China, what’ll they do?
  • if I buy a 10 yr treasury note, say 5.25% and then sell it in 1 yr. Is my return same as buying 1 yr bond?
  • What should I do with a 5-year Treasury earning 3.125% I bought in 2003?
  • How exactly does China own US debt?
  • Simple Government Bonds Question?

• Corporate Bonds National Debt Japan 10 Yr Treasury U S Treasury Treasury Securities Treasury Bond Corporate Bond Treasury Bills Treasury Rates Mature Treasury Bonds Bonds Congress Treasuries Us Treasury China Us Treasury Bonds Government Bonds Treasury