Posted on 05/07/2009 1:03:46 PM PDT by St. Louis Conservative
Demand weak at 30-year bond auction
* Stocks, bonds fall after auction
* Rising yields risk higher rates throughout economy (Recasts, adds quotes)
By Burton Frierson
NEW YORK, May 7 (Reuters) - A U.S. government auction of 30-year bonds met a dismal reception on Thursday, driving down bond and stock prices and raising fears the United States may face difficulty financing spending to stimulate the economy.
The $14 billion auction met below-average demand from investors, who forced the government to pay a higher yield. An extended trend of rising yields could force up longer-term interest rates throughout the economy.
It was the first 30-year auction since the government said last week it would move to monthly sales of long bonds, which some analysts say are harder to sell than other maturities.
(Excerpt) Read more at uk.reuters.com ...
Here comes inflation.
Obamanomics...meet reality.
Didn’t take long for reality to set in did it?
To Quote Obama’s mentor: “The Chickens, they are coming home to roost.”
Big time.
Why not just print more money?
What's the opposite of Reagan and an economic boom? Barrack Oboma and the coming depression.
US President Barack Obama called on Chrysler LLC bondholders to make sacrifices...
.
Yep, the only thing BO has stimulated is INFLATION. Fasten your seat belts... Jimmah Carter return only on steroids. (Can you say 18% interest rate ???)
It only stands to reason that where there's sacrifice, there's someone collecting the sacrificial offerings. Where there's service, there is someone being served. The man who speaks to you of sacrifice is speaking of slaves and masters, and intends to be the master. -- Ayn Rand
If you study this stuff long enough, for oh, say, five minutes, you come to the realization that there are economic rules that can't be wished away. Well, unless you have god-like powers.
The obvious candidate for this role is Mitt Romney. But what of Sarah Palin, could she not go forth and deliver a very serious address setting forth milepost after Milepost of misery which lay in wait for us down the road like so many speed traps? In a stroke she could gain gravitas and every time her predictions come true fewer and fewer would be able to-in Churchill's words, "gainsay" her.
apparently theres still alot of dumb ppl willing to buy 30 years bond at low interest. In 30 years, all your is worth nothing by inflation alone
Our creditors cannot stop the printing presses.
More than people realize. This nation hasn't seen anything yet.
Oboma has drained the well. It's run dry.
With 0bama’s spending, the coming shortages, and the closing lag time between fantasy and reality, the days of double digit interest rates are going to return. Like the bible says, people will need a cart full of money to buy a loaf of bread. These clowns are going to make the Carter years look like the good ol’ days.
....."but touch not (the rich politicians) oil and wine.
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