Quick reality check on 30 years of US debt vs. markets:
National Debt: +665%
$SPX Total Return: +1,820%
Short-term? Government borrowing pumps money into the economy. More spending, higher corporate revenues, fatter profits. Markets love it.
Long-term? That's where it gets messy. Debt doesn't disappear — it compounds, crowds out productive investment, and eventually someone pays the bill. History says that bill usually comes as inflation, higher taxes, or both.
Markets can rally while debt piles up, but don't confuse a sugar high with sustainable growth. The party doesn't last forever, and the hangover is real.
National Debt: +665%
$SPX Total Return: +1,820%
Short-term? Government borrowing pumps money into the economy. More spending, higher corporate revenues, fatter profits. Markets love it.
Long-term? That's where it gets messy. Debt doesn't disappear — it compounds, crowds out productive investment, and eventually someone pays the bill. History says that bill usually comes as inflation, higher taxes, or both.
Markets can rally while debt piles up, but don't confuse a sugar high with sustainable growth. The party doesn't last forever, and the hangover is real.
