Friday, August 6, 2010

Bond Traders to Mr. Market: Something Wicked This Way Comes!

The market buzz is that the Fed will begin more quantitative easing next Tuesday when they meet.

Treasury yields continue to reach new all-time record lows literally every day. This is a sign of very deep concerns that something very ominously dark is coming. Since the treasury and currency markets are the most liquid in the world, I tend to give them more credence than the stock market.