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The bond market's (still the world's most hated asset class) continued strength in the face of...

The bond market's (still the world's most hated asset class) continued strength in the face of positive economic surprises and the embracing of risk means Treasurys are treating spiking oil prices as a "deflationary shock," writes David Rosenberg, reminding that each penny increase at the pump "siphons away around $1.5B from consumer wallets."
Comments (2)
  • with oil production in the US increasing, this stat may not be accurate. Every increase in oil prices leads to more jobs for drilling. It also leads to more profits for numerous companies owned by US investors and private equity firms. That money has to flow back into the economy.

     

    Might be shifting money from the coasts to ND, TX, and OK but that isn't all bad.
    27 Feb 2012, 01:08 PM Reply Like
  • How is that a 5 year US Treasury yielding 0.85% is classified as "hated". Sounds like Animal House to me.
    27 Feb 2012, 02:46 PM Reply Like
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