On Thursday, the long bond fell a huge 3 full points.(300 basis points) It gave a little back yesterday.
All printed money yesterday, came in to support bonds and the Dow.
In economic news, the deterioration in California is now alarming. Its unemployment rate jumped to 11.5%. If you were to use Williams, shadow government figures, you would find that there rate exceeds 20%.
First the article:
During the first few days of July, a huge number of bonds have to be rolled over and there are no buyers for those bonds. California must declare bankruptcy. I was informed by Don Jack, that a state cannot go into Chapter 9, only smaller municipalities or cities. Only companies can go into Chapter 11.
This will be interesting to see how this plays out.
There is another article that shows that 8 states are now in record unemployment:
I wish everyone a grand weekend. And I wish all our Fathers out there a happy Fathers day.
speak to you on Monday