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Gold/Mining/Energy : Precious and Base Metal Investing -- Ignore unavailable to you. Want to Upgrade?

To: A Horse With No Name who wrote (15467)	8/3/2003 7:28:18 AM
From: crustyoldprospector	Respond to of 39344

Thanks, bengali, for a great link. Note the third chart showing the linkage between the USD index and bond yields since the dollar topped. If, as most here presume, the dollar has yet to see its bottom, then perhaps all the bond market obituaries are a bit premature. At the very least, a double bottom may be in the cards. I am not a fan of spike bottoms in widely-held, highly liquid instruments, which this latest "bottom" in bonds would be if it in fact held. IMO, when equities take a hit this fall and (or) next spring, and the dollar resumes it's bear trend below 93, bond yields will at least make a double bottom. Perhaps, a lower bowl-shaped bottom tracking equities is in the cards. The drop in bond yields will be driven by the same factor that your link invokes for the previous downtrend ... foreign buying to support the USD. All IMHO, crusty