Quote:
Originally Posted by cmac2012
House Majority Leader Eric Cantor has been betting against the American people and this nation’s economy since 2009.
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Wow! I don't know where to begin.
Like Eric Cantor, I have a moderate position in ProShares Trust Ultrashort 20+ Year Treasury ETF. I never thought of it as betting against the nation's economy or the American people.
If this is a bet, it is a bet that neither side of the of the aisle in Washington has the cajones to balance the budget. Let's say the budget deficit for 2011 without action by Congress will be $1.4 trillion, resulting in a total Federal debt of $14 trillion.
Do any of you foresee the Republicans agreeing to $700 billion in new taxes to balance budget and another $700 billion a year to eliminate the Federal debt in ten years? Do any of you foresee the Democrats agreeing to $700 billion in actual spending reductions to balance the budget and another $700 billion a year to balance the budget? Me neither.
Unless the above miracle happens, the Federal Reserve policy of quantative easing will eventually collapse like any other Ponzi scheme, inflation will rear its ugly head, bond yields will increase and the value of a leveraged inverse 20 year Treasury fund will go up.
I don't think it is anti-American to be a realist. Unrealistic policies got America into its current situation.