The Cellar » USA election

Diaphone Jim · 9/17/2024 11:16 am

"...Kamala Harris has flooded the country with 25 million illegal aliens.”
This young punk is sure learning from the master.

Anon · 9/17/2024 11:18 pm

griff wrote:
…“If the path to prosperity was flooding your nation with low-wage immigrants,…”Vance said in a CNBC appearance yesterday. “America would be the most prosperous country in the world, because Kamala Harris has flooded the country with 25 million illegal aliens.”

“Which makes me wonder, what country does J.D. Vance think is the most prosperous country in the world, since he doesn’t think it’s America?” Buttigieg retorted on CNN later the same day. …

Seems that the key word there is “prosperity”, not wealth or power. By some rankings of prosperity, the USA is #19.

https://en.wikipedia.org/wiki/Legatum_Prosperity_Index

Happy Monkey · 9/18/2024 12:36 am

America's strength has always been from flooding itself with immigrants.

Anon · 9/18/2024 1:22 am

That’s no longer enough.

griff · 9/18/2024 6:22 am

We need to grow the middle class, increase small business opportunities, and improve education. That's a lot on our plate but doesn't preclude immigration. I lived through the collapse of the rust belt Triple Cities locally. Population collapse has a whole set of problems different than population spikes but maybe harder to get a handle on.

glatt · 9/18/2024 8:57 am

Population collapse. I wonder who is going to take care of me when I am old and infirm. Even if I have the funds saved up, will there be anyone to do the work?

Happy Monkey · 9/18/2024 11:30 am

It was never "enough", but it was always necessary.

Anon · 9/18/2024 5:05 pm

Only to an extent. It's been turned into a political panacea despite knowing that too much of anything can be a bad thing. Water is necessary to survive; but, get too much and you drown.

Happy Monkey · 9/18/2024 8:46 pm

We've never been in any danger of drowning.

Diaphone Jim · 9/19/2024 12:30 pm

I am of a generation that was told to be thrifty and save. Banking day and savings accounts were part of school curriculum. Let your money work for you.
I have done the best I can to follow that advice, and I hate the fuck out of the joy and celebration that Wall Street and money folks are showing after the Fed rate cut yesterday.
After years of .2% (1/5th) return on savings, we have had a period of 4 to 5% recently.
I will bet that it is gone immediately, while the pundits exclaim on folks' not preparing for retirement.

glatt · 9/20/2024 9:00 am

I noticed that when interest rates went up, my 401k bond market funds went into the toilet. It seems there is an inverse correlation between the two that I don't fully understand. But if you want to make up for the lower interest rates, look into a bond fund. They are less volatile than stocks and may be attractive in your stage of life.

I asked AI to explain why this is and received the following:

While it might seem counterintuitive, there's a simple reason why bond prices and interest rates move in opposite directions.Think of it like this: When interest rates rise, newly issued bonds offer a higher interest rate to attract investors. This makes older bonds with lower interest rates less attractive. To compete, the price of these older bonds must decrease.Here's a breakdown:
[list=1]
[*]Interest Rates Rise: The Federal Reserve increases interest rates to curb inflation or other economic factors.
[*]New Bonds Become More Attractive: Investors can now get higher returns from newly issued bonds.
[*]Old Bonds Become Less Attractive: Existing bonds with lower interest rates are less appealing to investors.
[*]Price Adjustment: To make older bonds more attractive, their prices must decrease.
[/list]
In essence, the value of a bond is inversely related to the interest rate available in the market. When interest rates rise, the value of existing bonds falls, and vice versa.

Diaphone Jim · 9/20/2024 12:38 pm

Thanks Glatt.
I have to say my first take is that AI doesn't have a clue.

Anon · 9/22/2024 9:29 am

The talking heads say it's also a good time to transfer some funds from savings accounts to fixed interest CDs if you have funds that can be tied up for at least 6 months (short term CD). It works like a savings account through the bank (is FDIC insured while bonds are not) and in exchange for committing funds for a period of time you not only get a slightly higher interest rate, you also lock in that interest rate for the selected term. That can be useful if you anticipate further interest rate cuts. Some banks have no minimum deposit requirement; however, big banks may require $500 - $1,000. The caveat is that you can lose all the interest if you have to withdraw before reaching the full term. Should be easy enough to see what your own bank has to offer. You can shop other banks for offers too.

Diaphone Jim · 9/22/2024 10:51 am

I wondered why the APR actually decreases as the period of the CD increases.
It must be the lock-in of the rate and the bank covering its ass.
You are right that now is a good time to take advantage of it.

xoxoxoBruce · 10/05/2024 11:07 pm

No matter the interest rate or Bond Market, transfer any extra funds to the alcohol market.
Don't worry, be happy, when the 1% get done we'll all be in the toilet anyway.

griff · 10/14/2024 6:22 am

Totally normal election cycle.
FEMA contractors ordered to “stand down” after security threats, messages show (msn.com)

“Effective immediately, disaster wide -- cease inspections today and return to your hotels,” an alert from Vanguard Inspection Services read on Saturday. “FEMA received news that the Title 10 (active military unit deployed to NC) came across some trucks of militia units who said they were out hunting FEMA personnel.”

Trump suggests using military against ‘enemy from within’ on Election Day | CNN Politics

“I think the bigger problem is the enemy from within, not even the people that have come in and destroying our country, by the way, totally destroying our country, the towns, the villages, they’re being inundated,” he said, referring to immigrants whom Trump has repeatedly attacked with dehumanizing rhetoric.

griff · 10/14/2024 3:08 pm

https://www.cnn.com/2024/10/14/us/fema-helene-north-carolina-reported-threats/index.html

fargon · 10/14/2024 7:35 pm

Some people are really fucked up.

Anon · 10/15/2024 6:45 pm

I’ve lived in North Carolina. When I read that they’re hunting FEMA personnel I naturally have some questions:

What is the daily bag limit of FEMA personnel?
Do they have some good recipes for FEMA personnel (FEMA fricassee, fried FEMA)?
Being government employees, are they already USDA inspected?
Does their second line, FEMA Contractors, have the same nutritional value?
How long can frozen FEMA be stored in the freezer?

Why settle for MREs when you can have fresh FEMA?

Anon · 11/09/2024 9:46 am

glatt wrote:
I noticed that when interest rates went up, my 401k bond market funds went into the toilet. It seems there is an inverse correlation between the two that I don't fully understand.... I asked AI to explain why this is and received the following:

While it might seem counterintuitive, there's a simple reason why bond prices and interest rates move in opposite directions. Think of it like this: When interest rates rise, newly issued bonds offer a higher interest rate to attract investors. This makes older bonds with lower interest rates less attractive. To compete, the price of these older bonds must decrease....

AI got it right:

Stocks soared on news of Trump's election. Bonds sank. Here's why.

As Donald Trump emerged victorious in the presidential election Wednesday, stock prices soared. As the stock market rose, the bond market fell....

...On the same day, the yield on 10-year Treasury bonds rose to 4.479%, a four-month high. A higher bond yield means a declining bond market: Bond prices fall as yields rise.

While stock traders rejoiced, bond traders voiced unease with Trump’s fiscal plans....

...Long-term bond yields are rising because “many investors expect that the federal government under Trump will maintain high deficit spending,” according to Bankrate, the personal finance site....

...For bond investors, those worries translate to rising yields. The yield is the interest rate, the amount investors expect to receive in exchange for lending money: in this case, to the federal government....

...As the federal deficit grows, investors take on greater risk, and they expect to be paid a higher interest rate for loaning money to the government....

...Neither Trump nor Democratic presidential candidate Kamala Harris offered a convincing plan to reduce the deficit on the campaign trail, economists said....