August 07, 2007

The bond market is now correctly starting to price in Fed rate cuts and a recession. How soon until stocks catch up?


Treasuries are ``priced for calamity,'' said Brian Edmonds, head of interest rates in New York at Cantor Fitzgerald. ``

8 comments:

Anonymous said...

Yes, but treasuries are also priced in rapidly depreciating dollars.

Anonymous said...

CRASH!

shtove said...

You left out the end of that quote:
- Treasuries are ``priced for calamity,'' said Brian Edmonds, head of interest rates in New York at Cantor Fitzgerald. ``The fundamentals don't really bear it out.''
Naughty! This ought to be an epic unwind - full of twists and turns, with many diversions through dark woods and sunny glades, as hope and despair rise and fall. No need to simplify or spin. Better just to observe step by step.

Anonymous said...

They will catch up today 2:15pm lol. Happy crashing!

devestment said...

Looks like investors are bidding to keep their "worthless" dollars safe.

area 51 said...

Wait a minute. You cherry picked the quote!

Finish what he said:

"THE FUNDAMENTALS DON'T BEAR IT OUT"

"Priced for calamity" is a great exaggeration.

Anonymous said...

the dollar has so little value today in relation to energy and housing only gecause it is other peoples money

Anonymous said...

Just checked the DOW at 2:45 (post Fed announcement). BOOM! Down 150 in minutes.