Since it will hurt the economy, I hope not. There are far more negatives to it, than the positives of higher bond rates. Hoping for high interest rates because of the bond market is flat out selfish in my opinion. We all know the negative impact of high interest rates that ripple through our society and it won’t be pretty. However, I’m not seeing anything planned or happening that is going to turn it around. The administration seems to be roaring down the train tracks full speed ahead, knowing the tracks go over a cliff. Yet, there is no change in direction.
I heard a recent plumbing company who sells a custom part manufactured in China recently ask at a conference that if they brought their manufacturing back to the US and built a plant and manufactured the part here it would be $285, vs their competitors that keep manufacturing theirs in China that cost $153, which will they buy? Of course, the majority said the $153 one. That is what we are up against. Manufacturing will never come back to the US unless it’s something highly specialized high tech. Until that’s realized we are in a forced unnecessary economic decline that never needed to happen.
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