Comment: That very well could be

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That very well could be

I would say the Fed financed what was not rolled over by signaling they were going to blow up another bubble and they did, they will not be able to ward off a panic.
In order to get duration of 5 years I had to weight 64% of the portfolio at two years or less. The average yield across the entire US Treasury complex is 1.32%, this is our cost of financing our debt. This is below the rate of the CPI so we are financing with negative real interest rates, not considering the fact the CPI figures are complete BS …..this just cannot go on forever. For every movement there is at least an equal and opposite reaction and the markets always over reacts…..this thing is going to get ugly and there is no way to stop it. I remember sitting in my office in 2000 watching a whole firm get caught up in the tech bubble, and when it all blew up I was the only one left standing.