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


To: SouthFloridaGuy who wrote (74143)11/15/2006 5:57:34 PM
From: mishedlo  Read Replies (1) | Respond to of 110194
 
It will be due to INFLATION which will lead to much higher real rates needed to kill it.

LIG - that is exactly what nearly everyone here said would take to kill housing. LT rates hardly budged. It was the great conundrum, remember?

Things can and will "eventually" die of pure exhaustion. That has already been proven. IF we see a spike in LT rates, "eventually" will be damn quick IMO. But I do not expect that.

There can also be an "event" and if that is the case I suspect it will be in the YEN as opposed to the US$.

But do not discount exhaustion. It happened once already.

Mish