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To: BigBull who wrote (71553)	2/25/2001 1:44:24 PM
From: patron_anejo_por_favor	Respond to of 436258

Big Bull, they're short both treasury bonds and notes (but have been covering the short position at a pretty brisk pace in the last week: commitmentsoftraders.com Corporate bonds and junk bonds aren't reported, as far as I know. The most likely explanation for that position is they've been either hedging or playing the reduction in spread between treasuries and commercials or treasuries and junk, expecting spreads to narrow (as in fact they already have since BubbleBoy has been cutting Fed Funds). At this point though, it looks like they're unwinding those positions, possibly with the expectation that things are starting to look dicey and the various stresses on the credit system are expanding a la Turkey. I don't think we can make any general assumptions regarding, say, inflation vs deflation plays from their deployments at present from this piece of info alone.