Thursday, June 7, 2007

U.S. Treasuries not entering bear phase -Merrill

(Reuters) - "I am not convinced that we are in a cyclical bear market.
It's the normalization of interest rates. I would call it the
unwinding of the Greenspan conundrum. I think that is what is
happening," said David Rosenberg, Merrill Lynch's chief
economist for North America.




The Greenspan conundrum refers to the puzzle surrounding
longer-dated bond yields being lower despite rising short-term
interest rates and inflationary pressures.


Read more at Reuters.com Economic News

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