Humiliation ritual is underway, as the speaker of the house is en route to visit Taiwan, escorted by Taiwanese fighter jets — all because China didn’t fall in line with US dictates against Russia and in support of Ukraine.
This is not a coincidence and what the US is trying to do here is poke a thumb into the eye of China — call their bluff on Taiwan.
It’s a stupid game but if it works — PAX AMERICANA would be strengthened by this gambit. If it fails and China actually conducts a military operation in Taiwan while the speaker is there — this will go down as one of the worst diplomatic mistakes in American history.
Presently we have 4 warships in the area, including the carrier strike group USS Reagan. China has two carrier strike groups in the area and their military has been steaming towards the coast with Taiwan.
It’s a lot of postering and there has been a lot of talk. It seems China must do something otherwise look weak.
I closed out all of my positions for +100bps and kept VRAX for sport. And I just added back on a short, via SQQQ. The market is incredibly calm in spite of this and there is a lot of risk on occurring in the small caps. I prefer not to delve into the smalls whilst WW3 looms; but will head back into the fray after Pelosi is safe and sound — tucked into bed for the night.If you enjoy the content at iBankCoin, please follow us on Twitter