Arioch, we are looking like geniuses right now arnt we....
also, just want to clarify one of your graphs.
The 91-Day TBill Yield graph is skewed temporarily right now due to the deterioration of credit. Money market managers right now are avoiding all credit regardless of quality. Any piece of commercial paper that is not rated AAA or AA is having a difficult time being traded in the market. Money market managers are buying TBills right now as bonds roll off for the safety. They know they are getting a lower yield, but they dont want to break the buck in the portfolios. Monday the 20th (?) saw the largest rally of TBills over the past 19 years (since it has been tracked). That yield will creep back up once confidence and normalcy returns to the market.
All the other graphs are exactly like what we predicted.....LoD Asset Management has a nice ring to it
