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

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To: Silver Super Bull who wrote (745)9/14/2003 8:56:30 PM
From: Silver Super Bull  Read Replies (1) of 110194
 
I was just reading Noland's latest Credit Bubble Bulletin and he states that the 5 year Treasury yield has declined by 50bp over 8 trading sessions. Pretty amazing.

I am awestruck that we can have an economy that is projected to grow at an annual 3.5%-5.0% rate in the next quarter yet five year Treasuries are yielding about 3.15%. And according to Noland's commentary, "Year-to-date, Producer prices have increased at a 4.4% annual rate."

I guess some of the credit for the drop in yields has to go to the "dollar recycling."
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