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To: ild who wrote (238430)	4/30/2003 9:02:16 PM
From: Perspective	Read Replies (1) \| Respond to of 436258

Didn't realize how big a rally corporate bonds had been enjoying. I guess I didn't read that out of Bernanke's BS. I read it and immediately increased my target gold/gold equity positions. The fixed-income folks read it and saw interest-free loans to banks with corporate debt as collateral, squashing corporate spreads. Hmmm... Maybe I need to consider some junk bonds myself. It's frightening to me to see the world's largest holder of bonds advocating that its customers be shorted - paid back in diminished dollars - by the US Gubmint. Seems to me Gross should be fired by any of his customers that happen to be paying attention. Hello? Anybody awake in bond-land? One thing is certain, and everyone on this thread would be well-advised to pay heed: the Fed will make good on its promise to make money free, at all durations, for all borrowers, until the system collapses. I personally believe the system will collapse before the Fed manages to shrink effective debt loads far enough to resuscitate aggregate demand. Foreign investors will run from the dollar when they finally see it impacting its valuation, and then domestic creditors will flee to hard assets to avoid a government taking of their purchasing power. Japan, here we come. BC