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Politics : View from the Center and Left -- Ignore unavailable to you. Want to Upgrade?

To: Steve Lokness who wrote (150428)	11/17/2010 2:46:31 PM
From: Katelew	Read Replies (2) \| Respond to of 542214

Texas has grown from scratch lots of companies, big and small. Should States or smaller countries of Europe be consistently bailed out because they are too big to fail? I would never make a blanket statement on this. It's very situational, imo. The domino effect can't be ignored when deciding what to do. Going forward, though, it's time for bondholders to suffer somewhat is my guess. I think any bailouts are going to have more strings attached and more spreading of the pain. A trader friend of mine told me several weeks ago that "war games" are being practiced for bond defaults in CA and IL. Today CNBC reporting muni bond funds are getting clobbered. In fact, ever since the Fed announced QE2, rates have been backing up a little in the Treasury market, too. It creates a mental image of "bond vigilantes" squared off against little Bernanke et al, swords drawn.