http://wallstreetpit.com/11659-cash4gdp Tue, 22 May 2012 19:21:52 +0000 hourly 1 http://wordpress.org/?v=3.3.1 http://wallstreetpit.com/11659-cash4gdp#comment-75633 John Smith Thu, 29 Oct 2009 22:06:28 +0000 http://wallstreetpit.com/?p=11659#comment-75633 The biggest question is who will buy the 2.38 Trillion worth of treasuries in the next 11 months. That is nearly 200 Billion a month. With these type of numbers will the FED be able to raise interest rates and make the situation even worse. I mean the uptick in interest rates by only 2% will increase the interest payment by more then 40 billion. That is all the Medicare cuts that have been proposed for the next 10 years. Can you image what will happen if they will have to raise it to 10% or 20% to stop inflation. It really seems the US economy is in a no win situation. The biggest question is who will buy the 2.38 Trillion worth of treasuries in the next 11 months. That is nearly 200 Billion a month. With these type of numbers will the FED be able to raise interest rates and make the situation even worse. I mean the uptick in interest rates by only 2% will increase the interest payment by more then 40 billion. That is all the Medicare cuts that have been proposed for the next 10 years. Can you image what will happen if they will have to raise it to 10% or 20% to stop inflation. It really seems the US economy is in a no win situation.

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