"Burgeoning Treasury Yields Loom Over Stocks" - Wall Street Journal, 6/2/07
"Treasury Yield's Rise Above 5% Unnerves Market" - Chicago Tribune, 6/8/07
"Shares Decline as Treasury Yields Soar" - New York Times, 6/21/07
As interest rates decline to near their lowest levels of the year on fears that the US economy is heading towards a recession, it is interesting to note that as recently as June, some economists were forecasting a '6' handle on the Ten-Year Treasury, citing an overheating of the US economy. So much for forecasting.
Below we highlight the change in international long-term interest rates over the last year. If the path of interest rates are a reliable indicator, the international outlook doesn't seem to be as overheated as previously thought.
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