Mar 27, 2010
Baghdad Bob (II)
"Many economists take a much calmer view of budget deficits than anything you’ll see on TV. Nor do investors seem unduly concerned: U.S. government bonds continue to find ready buyers, even at historically low interest rates."
-- Paul Krugman, Fiscal Scare Tactics, the New York Times. Feb. 4, 2010.
"Falling inflation, rising unemployment, the housing market slump, the Federal Reserve’s policies of a near zero overnight borrowing rate and its purchase of up to $1,700bn in bonds have all helped keep Treasury yields near historic lows. But this week the mood shifted as yields for $118bn of new US debt were much higher than forecast, sparking overall selling of Treasuries."
-- Michael Mackenzie and David Oakley, Supply fears start to hit Treasuries, the Financial Times. March 26, 2010. (See also.)
-- Paul Krugman, Fiscal Scare Tactics, the New York Times. Feb. 4, 2010.
"Falling inflation, rising unemployment, the housing market slump, the Federal Reserve’s policies of a near zero overnight borrowing rate and its purchase of up to $1,700bn in bonds have all helped keep Treasury yields near historic lows. But this week the mood shifted as yields for $118bn of new US debt were much higher than forecast, sparking overall selling of Treasuries."
-- Michael Mackenzie and David Oakley, Supply fears start to hit Treasuries, the Financial Times. March 26, 2010. (See also.)