Biotech Values

[zipjet]

The bond bubble continues—John Deere Capital (the captive finance subsidiary of DE) sold $500M of 5-year bonds with a yield to maturity of 1.86% (!):

And that is twice the yield of 5yr T's.

David Rosenberg on CNBC today:

http://video.cnbc.com/gallery/?video=3000040242

David mentioned that the normal delta of the 10yr T to FFR was 125bps - how about a 10yr T yielding 1.25%?

He also made an argument that I have been making. That we need to grow jobs and stimulate the economy in a way that has a multiplier effect. I have argued that in a demand constrained economy that we utilize existing demand - namely the inherent demand of our economy for energy and produce that energy domestically.

David says it a little differently but with the same effect.

This approach gets no traction in the current administration since it would mean promoting the carbon complex.

ij