Mixed Messages of the Market
July 15 2010
There is a worrisome divergence between two markets, today, that tells an entirely different tale about the economy. And, while I remain reasonably bullish about the outlook for stocks, as I suggested Tuesday, this new development has put me back on "stock watch."
The yield on the two-year Treasury note has fallen to a record low of 60 basis points, or less than two-thirds of a percent.
In other words, bond market investors seemingly have given up the optimism I discussed only two days ago, since some domestic and international economic numbers were so disappointing today, that they now are willing to lend the government two-year money for less than 1%!
So,... Read More
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