Yesterday many economists and financial types were joking about several
corporate bonds (Buffett's and Proctor & Gamble) that were selling for more than the
same 2 year U.S. government bonds.
That was funny because, on the face,
it meant investors considered corporate bonds more likely to pay off
their debt in 2 years than the Obama government.
Today we know
what is really happening.
The Euro is falling fast and buying
U.S. bonds, corporate and Treasury is a safe haven.
Greece, Italy, Spain, Portugal and Ireland look shaky and so does Europe.
Our model for unionization, healthcare and Jew-hate isn't a very appealing model.