MOVE IN THE TREASURIES (TLT) SAYS BIG THINGS ARE COMING

Just a note as I'm still trying to get back in the swing of things after returning from Florida.

Just as we saw in October of 2008 we are seeing a move in Treasuries that is abnormal.  Buyers of Treasuries in size are typically NOT Mom and Pop (although I bet we have more Moms and Pops in there than 1 year ago).  Just as we saw in 2008, bad things happen when lots of people are willing to put their money away for 30 years and receive 3.94% or sock it away in the 10 year for 2.95%.  Although when put in contrast to the money market rates or savings rates they get in their checking account it's great right?

This move in treasury rates is not good and I will be watching the bond market for additional signals that confirm this breakout.  This is not a moment to be a hero and take on a bunch of extra risk.  In fact, if we do get some sort of stock market rally, it must be used as a opportunity to unload some long positions.

GOATMUG