🇺🇸🇮🇷🏦 - Iran is attacking the funding source of the US empire… the bond market

Their plan is quite simple: create a massive supply shortage, which will increase inflation and, as a result, drive surging interest rates that crash the US economy.

The US went into the war in pretty bad shape:

• Debt-to-GDP of over 120%
• Deficits of 6% of GDP
• Rising unemployment

But 1 month of Hormuz being closed made it worse:

• 10-year yield is up ~0.5%
• US endured the weakest Treasury auction in over 3 years
• With ~60% of auctions having a higher than expected yield

For every 1% increase in interest rates, interest expenses surge by ~$310B annually. And because the US government is mainly financed on the short end, interest rate increases directly translate into higher deficits.

Trump can declare victory as often as he wants, but if Hormuz remains closed, bond yields will spike and crush the US economy… dealing a devastating blow to an already declining empire.

🔗 Lukas Ekwueme

@CIG_telegram