Treasury Bond Market Puzzle Skunk-Work
The market for U.S. Treasury Bonds is receiving more attention recently. The value of the dollar tends to drop when long-term Treasury bonds decline in price. The March 2009 report of the Fed’s Flow of Funds shows that there is $14.5 trillion outstanding in mortgage-backed securities, agency securities and Treasury securities. Any wonder that the dollar is dropping in value and gasoline prices are rising?
