US Q1 Deficit

$485 Billion = US deficit in the FIRST QUARTER...that's > $150,000,000 per month...or $5.5Billion per DAY!?!

A $2Trillion dollar Deficit for the current FY is baked in the cake...in fact this is before the near $1Trillion "stimulus" package being prepared by the Obama team...and does not take into account the fact the US economy is accelerating to the downside...less tax revenue, higher social program payments. A $3 Trillion deficit for this FY is a high probability.

Question I have....who the hell is going to buy all this new debt??? The Chinese? don't count on it, they have their own set of issues due to the US slow down. This year will severely test the great Chimerica symbiosis that has kept the credit bubble blowing since 2002.

The other Question I have...IF the US finds a buyer for this new debt...where is the capital going to come from to invest in the next generation of companies and ideas that will pull the global economy out of this deflationary death spiral. The US is giant sucking machine that is inhaling vast quantities of precious capital....that ultimately will be squandered.

And I just checked the US Dollar index...and it's rallying against all currencies. UFB. US Treasuries will be the greatest bubble of them all...and it will blow up just like every other bubble in recorded history.

And the pin that pricks the bubble...what will it be? When the rest of the world finally says no to purchasing US debt, or can't afford it, or both. The ONLY recourse left is to print money out of thin air...and the house comes tumbling down.

- Rinx