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Technology Stocks : Intel Corporation (INTC)
INTC 48.48+3.3%1:34 PM EST

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To: Burt Masnick who wrote (98160)2/3/2000 10:28:00 AM
From: Road Walker  Read Replies (1) of 186894
 
Burt, RE: "Only possible explanation for long bond at 6% is that there is a reasonably large flight to quality."

The Treasury announced yesterday that they will reduce the auctions for 1 year notes from I think 12 per year to I think 4 per year. Also that they would reduce 10 and 30 year new notes. Supply/Demand on THE worldwide place to park "safe" money, I think, is driving the bond rally.

The question of where the money comes from is key, and I wish I knew the answer. Most capital in the world is "working", it's invested in stocks or bonds of some flavor. IF the rally in bonds continues, the appreciation will tempt many $'s from stocks, IMHO.

Have to wait and see.

John
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