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Politics : Ask Michael Burke -- Ignore unavailable to you. Want to Upgrade?

To: Alias Shrugged who wrote (59128)	5/12/1999 2:34:00 PM
From: Knighty Tin	Read Replies (1) \| Respond to of 132070

Mike, The bond market is post nirvana and now raw nerve ends. <g> I think we will see a rally to about 5 1/2% on the Treasuries, then a run past 6%. The sellers are all over the place. The buyers do not exist. The lower the quality, the worse the situation, but even top quality deals like Fannie Maes are not selling that great. The spreads to Treasuries are widening. The worst place to be if you need money is lower investment grade, A to BBB. The top quality and the real crap are not at record spreads, though they are much higher than they were before the Fed dice throw in October. But the folks who are not GE, but are smarter than Micron, are paying fairly large rates to issue debt and are being squeezed out by the mass from better issuers. BTw, I see Goldman is floating some debt. Must not have made enough on the stock deal. <g>