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turbo6bar turbo6bar is offline
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Join Date: Apr 2000
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Posts: 5,620
Yep, I agree Paulson is talking out both sides of his mouth. However, you can't ignore the potential fallout of a rate pause against the dollar. Why would Asians and OPEC countries buy US treasuries when the dollar is losing ground? It doesn't exactly take much currency fluctuation to erase a 5% treasury yield. Are they (foreign central banks with reserves) investing in our future growth, sacrificing current yield?

And speaking of treasuries, the entire yield curve is inverted, and we're not talking 2-10 inversion. 3 month is above the 30 yr bond. Well, take that back, based on current auction results, the 28-day treasury bill is above the 30 yr bond, 5.20 to 5.06%. The 10 yr trades at 4.97%.

All of the conflicting numbers indicate that either 1)I'm really confused, or 2)just really plain stupid.
Old 08-02-2006, 06:14 AM
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