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To: creede who wrote (1426)5/18/2006 6:29:34 PM
From: rrufff  Read Replies (1) | Respond to of 1694
 
Only someone with an agenda would try to compare treasury bonds, the safest investment with a pink sheet stock.

Nevertheless, if you took a look over the past 3 months, you see that Treasury interest rates have gone up significantly. Interest rates move inversely to the price of the note or bond. So you would have actually lost money over the past 3 months with the 30 year treasury.

People don't understand how you can lose money on a US bond. The payments are guaranteed NOT the price of the bond.

Over the past 3 months, here is the chart of interest rates on the 30 year T bond.

finance.yahoo.com

Note that the chart is going up. The price of the bond would actually be going down as this chart shows the interest rate going up and, per above, interest rates move inversely to the price of the bond.

BOTTOM LINE - Treasury Bonds would not have done as well as LBWR over the past 3 months, (depending on date of purchase given wide swings.) It's a silly comparison but since this Moronic Generic Basher brought it up, well, what the heck - - -