December 29, 2008
Good morning. The year end rally continues to be elusive, the VIX is creeping down steadily, the market may be settling into a range at levels no one is happy with, are these the cards being dealt? Right now it seems so. On the credit front we continue to have such fear that the 30-year rates on U.S. Treasury Bonds are 2.6%. Incredible, does anyone know any sane person who would give their money to anyone for 30 years at an interest rate of 2.6%? Does anyone really predict that there will be zero inflation for 30 years?