A BRAVE NEW WORLD?

10 year closed at 2.25%.  As suggested, the drop below 2.30% signaled a serious buying move with the flight to quality continuing.  And why not.  Today witnessed...

--A meeting between the American and Russian foreign ministers.  About the only thing on which they agreed--in public at least--is that relations stink.  Putin did meet with Tillerson, however, much to the disgust of MSNBC which practically guaranteed that as a slight to Trump he would not.  They are beside themselves.

--the Security Council tried to condemn Syria but Russia vetoed the resolution along with Bolivia.  Big Woof.  China abstained.  Good?

--The Donald held a joint news conference with the head of NATO.  I've been around since the founding of NATO and I can't remember a President doing this.  The again, this is a different guy.

--The Donald mused that interest rates were too high and maybe keeping Janet around for another term might not be a bad thing.  Say WHAT?!  Odds on that three months ago were off the daily sheets.  Trump, currency manipulator!  Oh, it seems as though China is off the hook on that score as well which may be part of the new, better trade deal Trumpster claims he offered Xi if he made the Crazy Fat Kid go away.  Nobody has figured this guy out yet.

The thing on Janet is interesting, however.  One of the truisms about the guy is that debt doesn't scare him Somebody else's money is the mother's milk to the real estate industry and I've been wondering for some time now when the guy's breeding was going to rise up especially in regard to his plans for infrastructure development.  As we have discussed, there is a huge demand for long dated fixed income paper.  Can you visualize:  "The Unites States of America, Series A, National Development Bonds Due April 15, 2117?"  Amount?  As much as you want.  Coupon?  Take it now 'cause tomorrow it will be lower.  Lead underwriter?  The last guy alive.  It will not be Goldman Sachs.  They, will just run the books.

2.25%.  Think it's too low?  Could be but while we're waiting for it to turn around why not come along with me.  Tomorrow I'm off the find the Easter Bunny.  Be back on Tuesday.