I think one of the aspect of this big bond selloff that is clearly a surprise to me, and perhaps even more so for you, is the inability of credit spreads to widen, in fact they've narrowed .
Zip on the agencies,
gcm.com
zip off the high yield.
stockcharts.com[m,a]daclniay[pd20,2!b50][vc60][iUc20!Lf]&pref=G
No fear on credit insurers, and that's with MBI being pressed on their dirty deeds.
marketwatch.com
stockcharts.com[l,a]daclniay[pd20,2!b50][vc60][iUc20!Lf]&pref=G
stockcharts.com[l,a]daclniay[pd20,2!b50][vc60][iUc20!Lf]&pref=G
It has a certain manipulation look to it. Ironic especially after Greenscam's "Adam Smith" yada yada, blah, blah speech last night. Either that or people just give up hard, on their zero systemic risk belief. Bizzare as even in normal times, there is always a little uncertainty out there about credit conditions. I guess they will continue to behave this one, right up to being handed the bankruptcy notice on the jizzum that they hold? |
