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

To: Crimson Ghost who wrote (4567)	1/7/2004 8:47:00 PM
From: mishedlo	Respond to of 110194

The only problem with debt is that there's not enough of it to satisfy investors. ggg Read the third bolded snip. After a bleak early-going, stocks gained ground to close generally higher. The S&P 500 gained 0.2%, the Russell 2000 added 0.8% and the Nasdaq jumped a percent. The Dow closed just in the red. Winners beat losers on the Nasdaq and the New York. Although the Nasdaq was the clear winner, the Morgan Stanley High Tech index rose just 0.3%. "snip" The dollar held its own today, perhaps due to Treasury Secretary John Snow's straight-faced testimonial that he supports a strong dollar policy. Gold fell 90 cents to $422.30, helping to push the Gold Bug index down 3.3%. "snip" The American Bankers Association calculates that credit card delinquencies hit a world record in Q3. Delinquencies reached 4.09%, up from 4.04% in Q2. Not coincidently, consumer debt (which doesn't include mortgage debt) hit a world record in October. "snip" The only problem with debt is that there's not enough of it to satisfy investors. Thanks to the latest rally in junk bonds, high yield yields fell below 7% yesterday. According to news reports, that's the lowest level since the 1970s. Read the rest here: prudentbear.com