You may not have noticed it, but there is an enormous gulf between what many Americans are being told is happening in the world around us and how the financial markets are reacting – or, more accurately, not reacting – to it. It’s as if there are two completely different realities going on. Which reality you subscribe to will likely dictate your investment choices, including how you feel about which direction the bond market is headed.
In one reality – and it’s the one that gets the most coverage in the general media – is that the world is basically coming to an end. The most powerful nation on earth is being run for the past two weeks or so – although it seems like a lot longer – by an ignoramus who is moving our country and the entire world headlong into disaster. Continue reading "A Tale of Two Realities"