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Technology Stocks : Rambus (RMBS) - Eagle or Penguin
RMBS 90.42+0.2%12:08 PM EST

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To: blake_paterson who wrote (9068)11/1/1998 4:22:00 PM
From: James Fulop  Read Replies (1) of 93625
 
(OT) I read that article, and wonder if anyone knows any url where I can monitor that spread...
"One ominous sign is the persistent anomalies in capital markets. Consider a gauge that
Greenspan watches: the difference in yield between the most recently issued 30-year
Treasury bond and the ''off-the-run'' bond, or those issued just months before.
Typically, off-the-run bonds yield 5 basis points more than new issues. But in the
credit-market panic after Russia's default, that premium shot up to 34 basis points, as
traders refused to hold anything but the most liquid securities. The premium has
narrowed a bit, to 18 basis points. But Greenspan figures the markets can't be deemed
healthy until the off-the-run spread is back around the normal 5-point premium."
Thanks in advance.
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