New Year Predictions Interest Rates (12/22/06)
Interest rates, 10-year T-bond yield (4.59%): I give bond sellers (those
looking for rising rates) the edge in 2007. It is utter madness for the
overnight risk to pay substantially more than the long-term risk (inverted
yield curve). Support for falling rates is at 4.43-4.50 and 3.70-4.00.
Resistance to rising rates is at 4.75-4.80 and 5.25.
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