This is going to hurt…a lot

http://finance.yahoo.com/echarts?s=^TNX#chart1:symbol=^tnx;range=my;indicator=volume;charttype=line;crosshair=on;ohlcvalues=0;logscale=on;source=undefined

That’s the maximum history for that chart. The 10 year yield has never
been below 3%. Today, we didn’t just flirt with less than 3%….we
crashed below 3%. This is epic, and nobody is saying anything because
it didn’t happen in the stock market (only sold off a little). This
just points out how fucking blind our financial press is. The bond
market is HUGE compared to the stock market. Someone was propping up
the equity market today even though bonds took off bigtime. However,
the tail does not wag the dog — the stock market will crash lower in
the next few trading days unless something convinces bonds to sell off
(not likely).

Oil and gold selling off at the same time bonds took off affirms my
risk-aversion belief. There is no safe haven (right now) except US
treasuries and nobody wants anything but.

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About diqster

r to the hizzle
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