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Politics : Ask Michael Burke

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To: valueminded who wrote (43139)1/13/1999 12:02:00 PM
From: Knighty Tin  Read Replies (1) of 132070
 
Chris, The Japanese, the largest buyer of dollar denominated securities, no longer consider the dollar a safe haven. In fact, it was The Titanic last year.

The rise in the T-Bond has to do with jumping out of anything Latin American, corporate or mortgage backed. This creates the exact spreads AG was hoping to avoid. He is looking for a way to make corporate and mortgage debt look like decent investments, and all he has done is squash them. And without those markets healthy, the economy is in deep kimshee.

MB
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