War is inflationary.      -Zoltan Pozsar, 8/1/22 This is a Pearl Harbor type of moment for Israel, where there was reality up until today, and then there will be reality after today.     -Fmr. Israel Defense Forces (IDF) int’l spokesperson Jonathan Conricus, 10/7/23 The Bank of Israel said on Monday it will sell up to $30 billion of foreign currency in the open market, the central bank’s first ever sale of foreign exchange, to maintain stability during

The People’s Bank of China said the country does not benefit any more from increases in its foreign-currency holdings, adding to signs policy makers will rein in dollar purchases.     –“PBOC says no longer in China’s interest to grow FX reserves”: BBG, 11/21/13 I think that our American friends are quite simply cutting the branch they are sitting on. You cannot mix politics and the economy, but this is what is happening now. I have always thought and still think today that

Remember – the pain trade is higher yields.     -Former NY Fed trader Joseph Wang, via X (Twitter), 9/21/23 There appear to be no brakes on this train.     -FFTT, 9/22/23  It is an incredible set-up – despite all of the above, consensus remains bullish on long-term USTs.  We remain bearish on TLT and believe the set-up above could soon drive a feedback loop that drives a long-term UST yield spike.  Imagine TLT dropping 10-20 points in

Behind-the-paywall link to FFTT conversation with Larry McDonald on RealVision (Page 23)