'Breakthrough' reached on bailout deal

[balda]

Quote from mgookin:

If there are in fact $14T in mortgages and $165T in paper on those mortgages, what the hell does $700B do for the equation? Not very much.

Ever used fire starters when you are camping?

By issuing 700B of bonds, bond market will demand higher interest rate which should attract foreign investor to start buying our bonds and increasing value of US Dollar, because first one need to own dollars to be able to buy US bonds.

 

[bwolinsky]

Quote from balda:

Ever used fire starters when you are camping?

By issuing 700B of bonds, bond market will demand higher interest rate which should attract foreign investor to start buying our bonds and increasing value of US Dollar, because first one need to own dollars to be able to buy US bonds.

Very good. I don't think we're issuing bonds, but hitting a reset button, anyway.