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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 (78458)	2/4/2007 5:10:38 PM
From: bart13	Read Replies (1) \| Respond to of 110194

But when do long term rates start heading higher in a big way? Just for what its worth, rates didn't seriously start heading up in Argentina until 2001 (60 day CDs moved from 7% early in the year to 32% in December right before the devaluation), and also only started moving up in 1922 in Germany (5% in Jan 1922, 19% in Jan 1923).

To: John Vosilla who wrote (78458)	2/5/2007 10:25:34 AM
From: Tommaso	Read Replies (1) \| Respond to of 110194

>>>But when do long term rates start heading higher in a big way?<<< That would be good to know. There's a long article in this morning's Wall Street Journal that says what a lot of us are saying (including Paul Volcker) that at some point foreigners will lose their appetites for U. S. Treasuries. That ought to cause a simultaneous decline of the dollar, especially against Asian currencies, and force the Treasury to pay higher interest rates to sell bonds. No politicians have the courage to raise taxes. Even with 65% of the American public against the Iraq thing, they hardly have the courage to oppose Bush on that spending. I hope we will elect a different kind of Congress in the next few years.