So the conondrum really is the global demand for our debt, which pays a higher rate than European or Asian debt. More demand raises the price, lowering the yield.

This trend will be reversed somewhat as Japan pulls out $200 billion of our debt between March and June 30, 2006. We should see rates rise a little bit. Unless of course the US has some offshore accounts which step in to buy Treasuries. Isn’t anything possible?

(Kind of like that whistleblower from the Transportation Agency who exposed the lax security still existing in airports…the gov’t is kind of too lazy to fix anything. Did you know they still don’t screen cargo luggage, and the terrorists are still highly interested in US aviation? After Irwin published several internal reports bringing this to the government’s attentino, Bush called Irwin (sp?) into his office and said he needed his loyalty. Irwin refused to tear up his reports and told Bush he works to protect the people, as should Bush. Irwin’s contract was not renewed, and he wrote a whistleblower book. This is typical of government. They want to look good, but not do what is best for the people. I can’t find the book , but saw the interview on cnn.com)