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


To: John Vosilla who wrote (69091)8/30/2006 11:03:22 AM
From: russwinter  Read Replies (2) | Respond to of 110194
 
likes inflation as long as it does not cause bond yields to rise.>

It's Pig Man, Mr. Creosote, and Risklove heaven. Pretend there is little inflation, and use cheap money to run infinite trades. Wonder what will happen Friday if the job report actually comes in MINUS . Markets may very well rally again, quite perverse, unless one understands the real forces behind this.



To: John Vosilla who wrote (69091)8/30/2006 12:37:33 PM
From: Crimson Ghost  Read Replies (1) | Respond to of 110194
 
Price pressures have been almost irrelevant to the bond market for quite some time The only variables that seem to matter are expectations for Fed and other CB monetary policy and economic "growth".

The bond market has become a plaything of central banks who are far more interested in keeping bubbles from imploding and postponing needed adjustments as long as possible than in controlling inflation or providing a decent return for conservative savers.

The bottom line -- these "wizards" as Russ defines them could not care less about the well being of "Brazil America". They are servants of the plutocratic risk-loves and bubbleoneons