Friends + Interlocutors,

Herewith a clever article by Bill Gross, known as “the bond king” who founded the gigantic bond fund, Pimco. He is highly respected. Evidently, a spike in interest rates is the canary in the coal mine, presaging economic and financial problems.

At the moment, Wall Street stocks are booming thanks to something called AI, but concurrently interest rates are surging which is sending the value of existing bonds tumbling. 

This is happening despite the fact that virtually all investment experts had been predicting lower interest rates. Then came the insane and criminal Trump/Netanyahu war. 

Bill Gross gives us an historical overview of the situation and concludes that the hegemonic downfall of America is now upon us and perhaps inescapable.

It began, you’ll recall, when Washington took over from the British Empire in the aftermath of the Second World War, which war England supposedly won, but didn’t. England finally exhausted itself and went bankrupt. Thanks to decades of malfeasance based on hubris. 

Anyway, here we are today and in the recent past, going through the same motions. Washington did not learn from England’s collapse. As a confirmatory side note, Gold has replaced U.S. treasuries as the top asset in the vaults of the world’s central banks. Something has got to give. 

Patrick

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