Today the US Treasury started selling hundreds of billions in Treasury Bills - granting you and me the great privilege of sticking all our cash in their lovely 'Safe Haven' for the next 10 years at a whopping 1.7%!!
Wait a minute? 1.7%? 10 years! Are they trying to tell me something?
Let's take a closer look. This means if I give Uncle Sam my spare million in pocket change, he's going to give me $17,000 a year ? No way, Sammy!
Guess I'll just have to invest in the market, thank you very much! (News Flash: The market closed down around 400 points today and is down 20% since April!)
OK, commodities? (Sorry, just tanked out and even coffee is cheap everywhere but Starbucks!)
Right, I know, I'll loan Uncle Ned that money he needs for a new mortgage. (What's that, dear? 'Uncle Ned just got fired and is house value has fallen from 200K to about a $1.99.')
Gold? (Falling like the rock!)
Bonds...maybe? (Just 2% if you're lucky, you say, and the good ones are long gone!)
So what to do with my extra change? Why would I loan to old Uncle Sammy? Wasn't it just a few weeks ago that S&P downgraded uncle's gold plated AAA+ credit score? Doesn't he owe 14+ TRILLION? Also, last I heard, his boys want to pay this gi-normous debt by spending even more money and, if I remember correctly, last month these same minions almost played 'My Way' all the way to default.
What to do? Seems you can't trust in anything these days! Or can you? Maybe it is time to set sail in my Aquarian (paid for, unsellable in this economy, and not big on fuel). I'll just cruise off into the sunset with a few dear friends, like a few hundred boxes 0f good wine (some vintages rose 20% last year), a quarter million cans of Spam (up 500% since my youth), and thee (always an invaluable safe haven)! Sound romantic?
No comments:
Post a Comment