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

To: NOW who wrote (66833)	7/26/2006 11:07:43 AM
From: John Vosilla	Read Replies (2) \| Respond to of 110194

How is he right? Rates sitting right here at 4 year highs. A big drop in rates is usually stock market specific and you can make a nice quick safe return by sitting in treasuries on a market crash. But it doesn't stay down for long and shows no hint of deflation. finance.yahoo.com OT my costs continue to skyrocket. Maybe we get cheaper hotel rates at Choice Hotels, lower gas prices, lower Starbucks coffee, lower insurance, lower rents, lower medical, lower education and lower taxes from this coming bust. Time will tell but I sincerely doubt it will happen. I guess I can be the lazy ultimate gloom and doom guy just sit back keeping all the cash in 30 yr treasuries make 40 percent appreciation as rates get back to 3% and the whole world goes to hell the next 2-3 year and buy up everything again on the cheap and life is happy ever after. I actually expect I'll have to get out there in the real world and get RE deals on a steep discount again. Not just sit at my computer expecting riches from doing nothing and taking absolutely no risk expect bet against the power of our government to continue running up these incredible deficits and debase our currency in the long run. What happens if he is wrong and 30 yr treasuries break out and go to 10% in the next 5-10 years? That is a drop of 50% on your principle along with a devastating blow to your purchasing power.