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Strategies & Market Trends : The Epic American Credit and Bond Bubble Laboratory

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From: Crimson Ghost2/5/2005 3:27:46 PM
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The absolute level of rates is just as important as the shape of the yield curve IMHO.

An inverted curve at a very low rate might be sufficient to trigger a garden variety recession, but might not be enough to prick ongoing asset bubbles which have developed enormous momentum. And pricking these bubbles has got to be the prime motivation for Fed tightening.
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