Posted on 03/26/2010 5:19:58 PM PDT by Bigtigermike
The bond vigilantes are finally flexing their muscles. A long period of stability for the US government bond market showed signs of cracking this week as a lack of investor appetite for new debt sent the benchmark 10-year yield to its highest level since last June.
For more than a year, analysts have been warning that record sized debt sales by the US Treasury were at odds with a 10-year yield sitting comfortably below 4 per cent. This week, the yield on 10-year notes jumped from 3.65 per cent to a peak of 3.92 per cent on Thursday. On Friday it was 3.87 per cent.
But this week the mood shifted as yields for $118bn of new US debt were much higher than forecast, sparking overall selling of Treasuries. Sentiment also deteriorated in the UK bond market after the government’s budget ahead of a general election expected in May failed to resolve doubts over future spending and debt reduction.
(Excerpt) Read more at ft.com ...
Rutrow...........this is not good...never fear, Obama the money printer is near.
“Rutrow...........this is not good...never fear, Obama the money printer is near.”
The ‘money printer’ started in 1913.
Printing Money bump for later.....
She’s a commin down the pike big time!
There IS going to be some real civil unrest.
Four more banks failed this week. This is becoming so common as to be unremarkable.
There is a negative $0.45 to GDP for every new dollar borried. I don’t believe this has ever happened before, has it?
Nope, not even before WWII, during the depression
We are in uncharted waters
and there be dragons out there
This is easy to fix....so easy...but the hard part is cramming it all through Congress....
Bump for reference.
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