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Ivancho
Zeihan on Geopolitics
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Comments by "Ivancho" (@ivancho5854) on "Much Higher Interest Rates for Much, Much Longer || Peter Zeihan" video.
I agree with a lot that Peter says and fundamentally he's right, but there are two problems. 1. The government spending by the USA has been hugely irresponsible and pushing rates higher will become unaffordable. 2. A financial crisis and stock market crash is on the way and the fed will not raise rates under such conditions, it will cut them to zero. Given these two points the US government could hold rates low and let inflation rip until the deficit is a healthier percentage. This would be a sneaky and horrible tactic for the people, but a smart move for the government, so guess what they will probably do. After that, and we're talking probably about two years, I agree with Peter that rates will rise substantially. Peter's strength lies in long term forecasting, but his short term is not so good IMHO. All the best.
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