Friday, May 13, 2005

BIG REVERSAL GOING ON! ALERT

WAs I the ONLY one screaming about the DELL HYPE today? However, the reversal has surprised even me.

With SO MANY SO SURE RATES were going higher, in the face of a determined FED to raise rates, LONG BONDS have not cooperated.

LONG BONDS DO NOT fall in yield if they see a strong economy, we have an EVER flattening yield curve, which senses WEAKNESS somewhere dead ahead! IMHO

Rates have fallen from 4.69%, TOO many were SO sure much higher, sentiment is SO powerful in helping determine future action.

Now, we wait until so many are sure rates will KEEP dropping.

COuld we see a 3% 10 yr?? WELL the uptrend in yields seems over

D

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