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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 (48299)	12/28/2005 8:21:05 PM
From: Wyätt Gwyön	Read Replies (1) \| Respond to of 110194

of course there is a bond bubble; you just choose to believe it doesn't exist, like the islanders who couldn't see the huge ships in their bay or the ostrich with his head in the sand, who can't see his enemy so thinks he is safe. the entire bond bubble is held together by a bunch of overleveraged hedge funds. quite pathetic. if the US didn't lie about inflation and if it had to rely on real demand from the hedonistic domestic population which has a negative savings rate, yields would be much higher. i bought Brazilian bonds for a 13% YTM. that is an appropriate yield for US bonds as well. at 4% nominal yield with 6% actual inflation, US long bonds are indeed return-free risk.