As we’ve seen all week the bond market continues to yawn in the face of the huge moves in equities. LIBOR was flat again today, the TED spread moved up 2%, the spread between fannies and treasuries jumped 3.4% and the CMBS market moved down marginally. If things were genuinely improving in the economy and the lending markets we would be seeing far more action than what we’re getting.
Mr. Roche is the Founder and Chief Investment Officer of Discipline Funds.Discipline Funds is a low fee financial advisory firm with a focus on helping people be more disciplined with their finances.
He is also the author of Pragmatic Capitalism: What Every Investor Needs to Understand About Money and Finance, Understanding the Modern Monetary System and Understanding Modern Portfolio Construction.