Even though we raised the debt ceiling, pain is coming. Treasury now needs to replenish its bank account. And when they do that, money will drain out of the economy and go into the treasury‘s account. This will reduce liquidity even while banks were seeing withdrawals following SVB and First Republic. This will increase their cost of capital, which in turn will make them increase rates they charge to borrowers. So because of the debt ceiling delay, people trying to take out a mortgage will have to pay more because rates will increase #debtceiling

It’s Wednesday, 5/31, and the T still sucks #publictransit # boston

Lol what a fuckin loser

Yep. Sounds about right.

Why does the debt ceiling debate matter? Predictable cashflows. Think about it: if your bank couldn’t be sure that you were gonna make your mortgage payment next month, it would - if only on the margins - think twice before reducing its liquidity buffer on other investments. Now apply that to the biggest borrower in the world: the U.S. government

Anyone watching #silo on Apple TV? I find it pretty intriguing so far. Makes me think very differently about “cleaning” 😂

It’s very worrying hearing the Gen Zers question whether they should have kids in a world that has as many challenges as ours, especially climate change. I know not everyone can, or wants to have children, but for our species to continue surviving, we need to at least have population replacement. History has countless examples of people continuing to have children despite terrible circumstances surrounding them. Climate change is a global threat that is very real, but having children is a statement of hope and belief in the human experiment. If we don’t believe that our children could potentially live in a better world than ours, then what’s the point of any of our daily strivings? Why don’t we just give up now?

Terrific analogy from the great Adam Tooze on #repo: “One might imagine the repo markets and its participants as a staggeringly over-sized pawn shop ecosystem. Every day collateral is given, credit is issued and then the original owner redeems the collateral the following day. And this takes place daily on the scale of trillions of dollars.”

Mint the platinum $1T coin now. Yes, it’s silly but it’s 🍌 🍌 that we’re in this position in the first place. And no, it won’t lead to inflation because the Fed would most certainly offset the increase in money supply by selling bonds

What’s everyone’s Wu-Tang name? Mine is “foremost ninja” https://wutangclan.net/name-generator/

The double whammy of high-duration low-interest rate assets and remote work persistence is going to have a major impact on the U.S. banking system

What’s your best argument against dollar-backed #stablecoins for someone who doesn’t buy into the payments use case for #Bitcoin and doesn’t think the dollar is at risk of collapsing anytime soon? In other words, what makes #Bitcoin and #Lightning a superior payment network in your view?

Gotta love late-stage capitalism workplace politics. 🙄

Gotta love this Amazon review. Guessing it’s someone’s Mom

No, being the dominant reserve currency doesn’t come with the unique ability to run a trade deficit. It does create network effects, but those are not fully - or even meaningfully - captured by U.S. interests. Dollar dominance is not the big deal we think it is