It's all about the DEBTMy Comment: I've been expecting yields to rise due the national debt for some time. Does anyone think Congress can do anything about the debt even if they wanted to. A recession is inevitable and increasing taxes and reducing spending cannot be done in a recession without making the recession worse. It becomes a vicious circle. The national debt is out-of-control and I'm expecting it to reach $49 Trillion by 2026. Got Gold?
30 Year Yields Hit Highest Since 2007 One Day After CNBC's Santelli Suggests 10 Year Could Go To 13% | ZeroHedge Excerpts:
"We have a lot of potential room to the upside," he says, drawing a chart of bond technicals. "Worst case scenario, where are Treasury rates going to go? 10 year I'd say in the next seven years you should be able to see 13.5% or 14%."
"If you want to know where inflation is taking markets and why, just look at government spending. Vigilantes have new horses and they are riding and I really do think that is the answer. We are spending too much, we are not learning to cut back."
"I think we're out of control as we approach a $2 trillion deficit and this is the market's way to get Washington's attention," Santelli adds.