The S&P 500 dipped down to 850 today, Nov. 17, as it did during the panic on October 27.
Fear continues to increase in the fixed-income market. The high-yield index just hit an all-time high of 19.25%. With the ten-year treasury note at just 3.72%, the spread is an historic 1553 basis points or 15.53%. This spread has been growing wider almost every day for several months.
2 comments:
I wonder, would John Meriwether have taken arbs. at these levels?
Doing so would beat the target 10% annual return for the average investor.
Humm, after checking wikipedia, it looks like he has. "As of March 19th, 2008, the JWM Partners fixed income hedge fund was down by 24% YTD."
Dang.
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