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To: Sam Citron who wrote (6386)	7/15/2003 8:54:27 PM
From: Sarmad Y. Hermiz	Read Replies (1) \| Respond to of 13403

OT >> Still curious about the scenario and timing, such as why the bond holders don't get sheared until "late Jan. '04". It takes time for even very obvious things to be acted on. The Federal deficit in this year and next 3 years is approx $2 trillion. That means a lot of bonds have to be sold. If stocks rise nicely this month, and again in October, and again in January (due to rising earnings), bonds will get cheaper and cheaper. And at some point they fall off a cliff. Like stocks did. My guess is that retail bond-holders do not have any daily idea of the price of their bonds. They only get that from quarterly or annual statements. So whether Mr. Greenspan wants to or not, government bond sales will be at successively higher yields for years. And he does not have the where-with-all to buy all the $trillions of bonds that will be floated.