I missed blogging yesterday. Although, I’m told I missed very little. Bonds were mostly flat for the day and stocks experienced vertigo at 12,000 and closed lower on the DJIA. Today stocks closed above 12,000. Now what?
No, I was not detained, nor was I tortured or denied habeas corpus. I had to see a man, about some land, down in old Paraguay. I hear it’s a neo-ground floor opportunity with the right mixture of old and new authoritarian compadres.
The bond market today acquiesced to economic data reporting a stronger than anticipated economy. Yields rose and prices fell to their softest levels in three weeks.
However, the US Treasury yield curve maintains it oscillation below 5% interest rate levels, save the two t-bills.
Traders, portfolio managers, economists, and the market in general are conflicted over the short-term time frame. Only OPEC is in agreement; they announced oil production will be reduced by 1.2 million barrels a day to defend the price of crude at $60.00.
If nothing else, it’s a clear strategy.