curious cat

Bottom Pickers, Rejoice: Opportunity Lies Next Year

michael, i have no problem with the graph and the relationship, but is it possible that the defaults are going to be slowed or interrupted and the rate will not get higher, but stay level for a while? if the fed has access to this info, aren't their current actions going to affect the rate of defaults? maybe they can't stop them, but why can't they slow them down? isn't that what the market for securities is telling us now, that people believe their actions will be effective?