Everyone talks about the stock market, the Dow Jones. They have no idea what it is though. ITs a composite "price" of the 30 dow components price with a multiplyer. Cant remember what that number is.
No one ever talks of the Standard and Poors 500. This is a vastly more important market.
But I have never heard anyone talk about Bonds. And the bond market is by far, much more important. For one its much bigger, and it is in control.
The TV keeps telling me we have seen the bottom, but its not really. Because the bond market is starting to slow. Our country is spending and incurring vast debt to get us out of our situation. That is paid for with money we borrow, from other more frugal goverments. Treasury bonds are considered the safest investment out there, but we keep selling and selling more. what happens if no one buys them? That cute little market everyone loves to talk about? the do? It will tank.
Caveat emptor.
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