Seeking Alpha

Capital Economics' Julian Jessop doesn't back off of a call for 10-year Treasury yields to fall...

Capital Economics' Julian Jessop doesn't back off of a call for 10-year Treasury yields to fall to 1.5% by year-end, forecasting "the eurozone crisis will continue to escalate and that the U.S. economy will remain fragile." He points out the downward push in interest rates post-Operation Twist is tied to the notion the Fed will follow through with its pledge - but rates still have room to move even lower after inflation expectations peel back with global prices retreating.
Comments (1)
  • When the deflationary pressures are finally so in your face as to have to be acknowledged, the markets will crash. When the lows of 2009 are retested sometime in 2012 you will see the 10 year at 1%!
    I am of the thought that the rush into the bond market and the safety of the dollar will catch almost everyone off guard.
    This will make the waterfall of 2007 look tame.
    The global economy is on the precipice of recession / depression.
    Get small, pay off debt and be ready to help your neighbors.
    We must not look to the government, who is causing this problem, look to each other.
    Look inward,look to God!
    America is great when Americans are GOOD!
    Long Live The Republic!
    Jerry
    13 Oct 2011, 02:53 PM Reply Like
DJIA (DIA) S&P 500 (SPY)