National Debt, So Hot Right Now

In stunning United States fashion, we set another world record on Tuesday. The total U.S. debt outstanding surpassed $30 Trillion, according to the Treasury Department. Yikes.

The COVID-19 pandemic initiated the most awesome liquidity injection into the financial system the world has ever seen, from every major central banking syndicate. The American economy stands in a presumably precarious manner currently as government programs to provide aid have recently expired, and the Fed is set for multiple rate hikes this year to tell inflation “ttyl”.

We are approaching debt:GDP levels not seen since WWII. Some may say that we have been at war, with the invisible enemy. I think Trump actually did write that in the first round of stimulus checks distributed in April 2020…not that I ever got one. In any case, with interest rate hikes imminent it’s hard to imagine that debt levels won’t start to slow done, although, all bets are off regarding government spending sourced by the loan originators who have seemingly lost all control of everything (Powell the GOAT). Just prepare to buckle up because we’re in for a wild ride.