Saturday, November 29, 2008

S&P yield > 10year Treasury

Source: Bloomberg Apparently this hasn't happened since the 50's. While many analysts would recommend this a signal to buy, investors should keep in mind that the economics still suggest things will not likely get better in the near term future.

Some coming problems yet to unfold include but are not limited to:

1) Commercial real estate bubble
2) Credit Default Swap liabilities
3) Lehman Brothers' victims on the verge of collapse
4) Consumer debt bubble
5) Unprecedented national debt levels for the USA and England

0 Reflections: