James Grant finds it very curious the 10 year Treasury is paying only 2%

News you should use:

Bond yields have been going down and bond prices have been going up for approximately 31 years.

Of course, two issues have to concern you to take this seriously:

  1. You are troubled that the United States Government borrows more than 40 cents of every dollar it spends
  2. You believe that: Something that can’t go on forever, won’t.  Debts that can’t be repaid, won’t be.  Promises that can’t be kept, won’t be.

As Glenn Reynolds of Instapundit fame says, “Make your plans accordingly“.

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