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To: Giordano Bruno who wrote (363117)	3/20/2008 12:21:59 PM
From: MythMan	Read Replies (3) \| Respond to of 436258

scalpwithjerryo.blogspot.com

To: Giordano Bruno who wrote (363117)	3/20/2008 12:55:18 PM
From: stan_hughes	Read Replies (2) \| Respond to of 436258

There's a new sport out there in corporate land quite beyond those in distress who are in need of funds -- sound companies maxing out their credit facilities and scooping up the cash while they still have the chance in case they need funding later but can't get it due to market conditions -- some corporate treasurers consider maxing lines out as a cheap form of insurance Since they really don't need the money immediately, they park it in short-term treasuries, which is helping to drive IRX into the ground and keeping the Fed busy doing bill sales to meet the demand As long as the company stays within its covenants, the banks can't really call the loans back in, plus individual banks are reluctant to cut off these lines because they don't want to be telling their precious client base to shove off Needless to say, this isn't the sign of a normal functioning credit system