We could see something close to a straight line decline in bonds now...as all of the cats are out of the bag and everyone knows the FED will continue raising rates for the indefinite future....
The yada yada will be about the "strong economy" but the reality is oil, gas, gold and the dollar are finally reaching a tipping point...
Amazingly as money "flees" bonds, that might help stocks as the "strong economy" story gets legs... But of course the housing bubble will crash...and incomes will decline as home equity starts to shrink... Foreclosure rates are spiking big time in many markets. And this could pressure banks.
The die is cast on interest rates, ...but still, the happy talk on stocks is a mile wide and an inch deep. After initial euphoria today...the markets should sell off after 3PM.
