Economic Ruination in Three Words or Less

By The Mogambo Guru

If you want some bad news, then Doug Noland, in his Credit Bubble Bulletin at PrudentBear.com, has some for you. He reports that that “Global yields are on the rise.”

I was going to make a complimentary comment about how cleverly Mr. Noland conveyed such bad news in only five words; “Global yields are on the rise.”

Then I noticed that I could be more concise than Mr. Noland, a rare triumph for me, with “Bond prices falling,” which is only three words.

Then I noticed, with some alarm at the schizophrenic overtones, that I could eclipse myself with, “Bonds collapsing” which could be further reduced to the one-word synopsis, “Doom!”

I can say “Doom!” because this means that the gigantic, towering, incalculable, worldwide glut of bonds have all gone down in value, handing the owners of the bonds unrealized losses, which are just the start of a long string of losses to more and more people as interest rates continue to rise because inflation in prices will rise with the rise in central-bank money creation. (more)