The Chart of the US Treasury Bond ETF, TLT, from Jack Chan's chart site, JC's Buy And Sell signals documents that a run on the US Treasury Bonds is well underway. Note the shooting star on March 20, 2008 which occured immediately after the Federal Reserve announced assistance for the JP Morgan buyout of Bear Stearns; it was at this time the bond market place, independent of central bank action, called interest rates higher and bond values lower. The Federal Reserve's actions of providing TAF, TSLF and PDCF facilities, only serve to devalue bonds. The Fed's actions are inflationary; it's as the Resourceful Bear says: "Inflation is a stock and bond killer, and a gold thriller".
WIDGETIZE
