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To: kcar

So why is US govt, trading at sub 5% coupons?

Anyone????


15 posted on 10/18/2007 6:55:00 PM PDT by Professional
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To: Professional

Those sub 5% yields can’t last - just a temporary refuge for those fleeing stocks. It should be interesting to watch how the new issues of Treasuries fare should the Fed cut 25 BPS more and lets the dollar continues its inexorable slide whilst foreign investors become more choosy. Yields might pop up surprisingly then, proving the flight to bonds “safety” is a relative and transitive thing.


19 posted on 10/18/2007 7:10:16 PM PDT by kcar (HillCare 2.0: Freedom's deathbed)
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To: Professional
So why is US govt, trading at sub 5% coupons?

Sub-5% and going down daily. All this while the Asians are "dumping" our debt? Something doesn't add up, does it?

Treasurys are declining because it is deemed safer than most other debt out there, including all the mortgage-backed stuff held by the Asian nations. Sounds like they're screwed!

We're in some unique economic times, that's for sure, but its not the calamity many are claiming it is. I swear, I'm surprised so many Freepers love to post bad news that they think signals doom is just around the corner. What a way to go through life.
40 posted on 10/18/2007 7:51:41 PM PDT by VegasCowboy ("...he wore his gun outside his pants, for all the honest world to feel.")
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