Paranoid - Friday, page-67

30yr now yielding 2.75%.

Someone suggested yields are falling because the fed may not raise rates.  I think that could turn out to be true, however there may be more to it considering the wall of money that has hit longer bonds (short end remains largely intact).  Very deflationary... much safety...



Madness.  That money needs to get back out there! Silly treasuries.

Our 10yr:



Not the sort of thing we want to see.

Spooky magical magnetic lines for our market:



Guessing resistance in '10/11 might act as support.  Bit of buying into the close today is a good sign though.

SPX:


Looks like a top.. smells like a top... probably just a permanently high plateau...

Dax:


Dax is looking scary.

Anyone here witnessed a concurrent bond and equity bear market?  I haven't.  If indeed we are any closer to a tightening cycle, then that could be a real possibility...   

I sometimes wonder though.. what if a rate hike is actually inflationary this time around.  It won't be demand side inflation but supply side.  'Zombie companies' (as Bill Gross refers to them) carking it, less overall supply...  That could be interesting (and bad for bonds, perhaps good for gold?).