Market Dries Up for US Debt

Apparently this never occurred to the profligate fools in Congress who go along with Obama’s deliberately disastrous Cloward-Piven economic policy, but there are limits to how much the government can borrow:

The U.S. Treasury sold $39 billion in five-year debt Wednesday in an auction that drew poor demand, raising worries over the cost of financing the government’s burgeoning budget deficit. … Under the weight of the ballooning deficit, the government has raised auction volumes and analysts now wonder whether the strain on the market is showing.

…dealers drove an unexpectedly hard bargain to raise yields, and lower prices, to buy the bonds. Ultimately, this could raise interest rates throughout the economy at a faster rate than might be appropriate given the lingering effects of the worst recession in decades. …

The government plans to issue $2 trillion in new bonds this year to finance economic and financial rescues.

Treasury auctions have come under particularly close scrutiny since investors began to question the longevity of the United States’ prized AAA credit rating back in May.

Thanks to the leadership moonbats have seen fit to inflict on this country, we are on our way to the second-class status of a debtor nation that can’t pay its bills. But that’s okay; if the ChiComs won’t lend us any more money, we can just crank up the printing presses even faster — or maybe add zeroes to the currency, like they do in Zimbabwe. What better tribute to Chairman Zero?

zimbabwe-currency.jpg
Our economic future, as previewed in Zimbabwe.

On a tip from cowlove. Cross-posted at Moonbattery.

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