Wednesday, October 28, 2015

The U.S. Debt Ceiling has Risen No Matter Who is in Office

The ECB continues buying long-term debt in order 'fix', peg, or stabilize a market trending towards collapse within a truly free market. As long as the Fed talks about the normalization of rates, rightly so, smart money has no interest buying long-term debt. This leaves central bankers holding the assets in which there's no private sector bids. Who are they going to sell it to? Other central banks? They're loading up on debt too. Here lies the seed of the next crisis.

Courtesy of: Visual Capitalist

Headline: The U.S. Debt Ceiling has Risen No Matter Who is in Office

House Republican leaders were slated to propose a bill this week linking a debt ceiling increase to conservative issues. Under the new proposal, the debt ceiling would be increased from $18.1 trillion to $19.6 trillion, and would likely extend through 2018.

However, new reports out of Washington suggest that internal support for the bill from Republican lawmakers is divided, and it is unlikely to go to the floor. Where things go from here are unclear. If it gets down to the wire, Republicans willing to play ball may have to seek Democrat support, but this would likely void any concessions to spending as originally proposed.



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