-------- Original Message --------
| Subject: | Update of the Treasury Long Bond Chart and What Is the Message of the Bond Market |
|---|---|
| Date: | Wed, 14 Dec 2011 10:17:09 -0800 |
| From: | Jas Jain |
Update of the Treasury Long Bond Chart and What Is the Message of the Bond Market
On April 04, 2011 I said:
As the attached graph shows, the 30-year Bull in the long-term US Treasury bonds is alive and well. And this Bull would break thru the wall (the yield) on the down side. Long live the Bull!
Jas
I am attaching an updated chart. The yield on the 30-Year US Treasury bond has not just broken thru to the downside it has collapsed and is below 3% now. There aren't too many better predictors of deflationary depression in the US. Manipulations by the Fed have no long-lasting effects on asset prices, only intermediate-term volatility that is very evident in various markets. I marvel at the stupidity of people like Paul Krugman and Robert Reich who believe that Fed can help create jobs and economic growth. Fed can do lot of long-term harm as Greenspan and Bernanke have demonstrated. The Fed would be disbanded and the Scam Market would be shut down following the collapse of the current econo-political system and under some form of dictatorship that would inevitably result. Those who are ignorant of history (think Germany!) and ignore very clear signs are bound to suffer thru the consequences. Harboring and coddling crooks bred in the culture of deception, fraud, and manipulation and giving them the power to manipulate the economy guarantees bad economic outcomes. Regrettably, it is all too predictable.
Jas4 Apr 2011 : http://jasjain.blogspot.com/2011/04/long-term-us-treasury-bond-rate-vs-time.html
Posts
1 comment:
Re: Update of the Treasury Long Bond Chart and What Is the Message of the Bond Market
Sabri: “The Fed cannot create jobs Jas, the US government can, for example, by starting a war. By the way both VIX and TED Spread are getting high. No jumps yet, but if it goes like this, troubles in the interbank market will resurface. We are not near a Lehman event yet, but most likely we are getting close to a Bear/BNP event of June-August 2007. Be safe my friends.”
I don’t think that the US govt has money to start a major war comparable to the WW II. However, if the US is attacked by dirty nuke bombs by al Qaeda then American dopes can be talked into taxing the rich and corporations to the tune of $2Tr. a year and create enough jobs with a war machine. Anything short of that and forget about creating enough jobs to get the economy out of the funk. The Fed was never meant to create jobs or even grow the economy. It was the idiotic American econo-political system that gave the Fed more reasons for mischief and misbehavior. Greenspan and Bernanke have made full use of that idiocy of the part of the politicians. America has a very bad econo-political system today and American dopes can’t come to terms with this simple fact. Democracy is intended to destroy a civilization that rose out of martial values, or warrior ethos. How is a born-and-bred American dope to know? The morons are in love with democracy and they would pay for it. Soon enough.
Jas
Post a Comment