Tuesday, November 28, 2006

Tuesday Interest Rates & the US Dollar

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The last two weeks have been bullish for Treasuries of all durations, especially longer-term.  As a result, yields have been pushed lower.  The lower yields, and the prospect of higher yields abroad, have pushed the dollar lower and below important short-term support.  If the dollar continues to show weakness, at some point it is expected that Treasuries will begin to sell off, pushing yields higher.  That is unless the lower yields are anticipating a significant slowdown in the economy.

 

Posted by HeadlineCharts at 07:01:34 | Permanent Link | Comments (0) |
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