MajorRewrite
Iffy
- Joined
- Mar 14, 2014
- Posts
- 10,316
Private equity kills every business it touches, and private credit has made a lot of loans to private equity. This video explains the risk that private credit companies pose to the economy.
Also, private credit firms are refusing to let their investors withdraw their money. Good sign.
Anyway, add private credit to the list of things that may trigger the next financial crash.
Also, private credit firms are refusing to let their investors withdraw their money. Good sign.
Anyway, add private credit to the list of things that may trigger the next financial crash.
Malaysia walks away: The country’s trade minister declared its agreement with the United States is “null and void,” choosing to exit rather than renegotiate.
The leverage collapse: After the US Supreme Court ruled key tariff mechanisms unconstitutional, the foundation behind recent trade deals was effectively removed.
A better deal outside the deal: With a flat 10% tariff now applied broadly, Malaysia faces lower costs without honoring prior concessions — flipping the original incentive structure.
The core calculation shifts: Agreements that once offered reduced tariffs in exchange for market access now provide no clear advantage over simply walking away.
Other countries reassess: Governments across Asia and Europe are pausing or reconsidering similar agreements as the economic logic behind them weakens.
Pressure without payoff: Even countries that signed deals remain subject to new trade investigations, raising questions about the reliability of long-term commitments.
A test case for global trade: Malaysia’s move signals that smaller economies may now challenge US trade demands — especially if enforcement tools appear limited.
