[groanup]

I’m long a considerable amount of June ‘08 30-years, short an equal amount of June ‘08 10-years

If I had your view of inflation I wouldn't put on such a flattening trade but, if its working, that's all you need to know. Never assume that the markets are supposed to make sense, huh?

[SAJ]

Laddiebuck, as long as the mkt perceives that FOMC are easing FF rates and the whole of the bond mkt doesn't crash right out (way too early for that, I think, ask me again in August), this trade is distinctly indicated.

Keep in mind that I've no plans to be in it even 2 weeks from now, and very possibly will be out of it sooner. If the mkt will give me a full handle, I'm gone, gone, gone out of it. We're not talking about a''macro'' trading position here, just a short-timer.