Interesting summation of the fast
approaching debt bombthat is at an extreme.
Where will this refinancing money come from? And this is just the
debt the US is dealing with. International debt compounds the
problem. This can't be good for interest rates which broke out
today which will simply aggravate the problem.
When you
add in sentimentfor the short to mid term
currently at extremes, the market upside could be very
limited considering how over bought it is. This is the definition
of a very risky market. Cash and inverse bonds are looking good
here.
Newsletter
Subscribe to our email list for regular free market updates
as well as a chance to get coupons!
Markets On the Fast Track to Hitting a Wall
Posted by george_l on 5th of Apr 2010 at 10:32 pm
Interesting summation of the fast approaching debt bombthat is at an extreme. Where will this refinancing money come from? And this is just the debt the US is dealing with. International debt compounds the problem. This can't be good for interest rates which broke out today which will simply aggravate the problem.
When you add in sentimentfor the short to mid term currently at extremes, the market upside could be very limited considering how over bought it is. This is the definition of a very risky market. Cash and inverse bonds are looking good here.