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Strategies & Market Trends : The Epic American Credit and Bond Bubble Laboratory -- Ignore unavailable to you. Want to Upgrade?


To: mishedlo who wrote (4301)1/2/2004 9:02:16 PM
From: t2  Read Replies (1) | Respond to of 110194
 
Mish, You might be proved right about interest rates. The only problem is what happens if dollar continues to drop..and especially if it accelerates.

We may not get a bond market bubble bursting after all...yields remaining low. There is just way too much talk of higher interest rates. Too much bullishness on equities also a concern. Even Rydex Nova/Ursa is pretty high and it was the one contrarian indicator that worked best in 2003r. What happens if companies' outlooks are just so so. Lower rates and a (lot) lower stock market.

Stock markets tend to crash at the tops; after seeing the gains of the past year, one can finally make a case for some sort of crash as a real possibility..much more than a year ago.