View Single Post
Old 04-10-2010, 06:29 AM  
wig
Confirmed User
 
wig's Avatar
 
Join Date: Feb 2002
Location: Panama
Posts: 708
Quote:
Originally Posted by The Demon View Post
Inflation adjusted, Mutual funds have been pure shit the past few years. Actually, don't even adjust it for inflation.

Now I'm shorting bonds for the main reason that the % has nowhere to go but up. Bernanke wants to borrow money without printing anymore and causing high inflation or hyperinflation. The only way he's going to do that at this point is by raising the rates on bonds, especially T-Bonds, and hoping people buy that shit. Americans are starting to realize the huge risk in financing government debt, and are slowly moving away from bonds. It's that simple.


The FED does not control the long end of the curve. The market does.

Hell, they don't really control the short end.

If you look closely, the market on the short end moves rates first and then the FED adjusts the FED rate to match.
__________________
Credit Card and ACH Processing
wig is offline   Share thread on Digg Share thread on Twitter Share thread on Reddit Share thread on Facebook Reply With Quote