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Strategies & Market Trends : John Pitera's Market Laboratory

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To: Henry Volquardsen who wrote (5312)12/18/2001 7:15:07 PM
From: John Pitera  Read Replies (1) of 33421
 
Hi Henry, the 1979-1981 period was really amazing in terms of the volatility in interest rates, commodities and
even the currencies. Many commodities experienced some amazing bull markets in 1973-74 and then in 1979-80.

I was reading Perry Kaufman's comments that a whole generation of commodities traders were conditioned into
looking for types of chart action, formations and volatility that would not occur for many years to come. I thought
that you were managing a swaps book in the second half of the 1980's. I can understand what you mean that
volatility provides greater interbank swap spreads.

If you were to put on your forseer of the Future Cap, what do you think might be the biggest change or
development in the capital markets over the next 5 to 10 years. I remember back when securitization and resale
of debt was a market ripe with bankers excitement. A guy at Citi in Australia, was really keen on packaging and
re-selling the credit card debt of the biggest bank in Australia. He went to work for the ozzie bank back when I was
there.
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