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Strategies & Market Trends : Stock Attack II - A Complete Analysis -- Ignore unavailable to you. Want to Upgrade?


To: dawgfan2000 who wrote (3960)3/23/2001 2:18:02 PM
From: Paul Shread  Read Replies (1) | Respond to of 52237
 
My understanding is that mortgage rates track the 10-year yield. I think the inverted yield curve (it's inverted somewhat on the low end still) means that short-term rates, which are largely controlled by the Fed, are too high.

The good news is the yield curve is looking much better, I just noticed. The 3 month is still inverted vs. the 1 year and 2 year, but the gap has closed, and the 6 month is no longer inverted. A very good sign; that last rate cut did a lot of good (or maybe it's the expectation for more cuts). A completely uninverted yield curve would be very bullish for stocks.