No, Barry Bonds is not moving to Costa Rica. For all I know, that roid-head already lives there. At any rate, the purpose of this post is to address two items prominently mentioned in the comments today.
First up, the remarkable sell-off in the bond market and its possible implications. Recall this illustration that Santa first created about 10 years ago and has since republished several times:
If you haven't yet, now take a moment to read Dan Norcini's comments today on the technical state of the bond market:
OK, this got me thinking a bit. Recall that we have been in a bull market in US bonds for almost 30 years. The breaking of that bull is what Santa is referring to in pillar #5. I hadn't seen a long bond historical chart for a while so I emailed Dan and asked him for one. He graciously replied and here is what he sent me:
Again, not if, when.
The followup question and discussion was then, naturally, expatriation. Who, in their right mind, doesn't at least consider this possibility when the writing is clearly "on the wall", so to speak? My allegiance is to this great country and to the millions who have died trying to create and protect it. I will stay on and do my level best to fix things. However you, my dear reader, are certainly free to push on toward the next, great frontier. To that end, below is a link to the definitive expatriation guide "Tyler" posted at ZH in the spring of last year. My advice to you is to save it. Maybe even print it off and keep a hard copy or two somewhere. Well-written and concise, I believe you'll find it quite interesting.
The metals performed beautifully today. They valiantly shook of Blythe's attack this morning. She's now tried twice to raid them on the Globex post the 2:15 Fed statement. We bounced right back from the first attempt at 2:15. I'd certainly expect this current effort to fail, too.
Again, another $16B in POMO awaits tomorrow and Thursday. Hopefully, we'll build on this early week momentum and blast higher. I'll try to check in again this evening.