Agreed. The timing here is interesting as well. 5:21PM ET on a Friday. Like they know this could roil markets and they're trying to buffer that a bit (and maybe they're really hoping this deal with Iran is actually real this time and figure that will help offset the effects?)
reply39 times is the charm I guess?
replyThe Trump administration would never do anything to manipulate the markets. /s
replyThe thought that this would also destabilize the AI bubble did come to mind, but the current government loves to crash the market on Fridays, only to backpeddle on Mondays.
replyA related thought though, the AI boom is predicated on the idea that everyone's going to want or need all this "mass produced" intelligence. But what happens to that when you go from being able to claim to have a total market size of ~8B people, to ~400M peoole? I think the reason to push ahead at any cost evaporates.
There’s no back peddle once you’ve demonetized by fiat for being too big. Once you doo it you prove you will do it again for the very reason the bubble is inflating. It’s a binary one way door and it’s already happened. It’s like killing the supreme leaders entire family and maiming him and expecting he will be happy to meet with you, that ship has sailed and magical thinking won’t undue the incredible atrocity you visited on him - you’ve created a mortal enemy for all time. This is an administration of mental gnats.
replyYes I rather think “just do the Friday-Monday thing with it” will get applied, but without the realisation that once this trigger is pulled, it can’t now be “un-pulled” at a later date.
replyIt's honestly not the worst strategy: make the dangerous move when you have the most tolerance, and then everyone can figure stuff out and make the landing on Sunday.
replyOptions and futures don’t wait and a lot of stuff trades 24x7. You can do your puts right now, and banks and market makers will meet you now if you’re big enough. The landing for Main Street will be more of a horrible traffic accident that happened days ago and they just woke up in the flaming wreck of their financial life.
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