Thanks for the huge response from around the world, per last Fridays quiz. Was great to hear from the regulars and was overwhelmed by so many new responses. I do apologize that the response was so large I fell behind in responding with some of you on Monday. Below was the quiz from last week (see post here)
A good percentage figured out the top half had something to do with interest rates…most guessed it was the yield on the 30-year bond.
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A couple of people picked up that this was actually a continuation of the last quiz posted on 12/9/2011 (see quiz post here) The last quiz reflected that TLT inverted was on key support, at the same price as the 2009 lows, which was a great place to buy stocks.
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As the yield on the 10-year note (top half above) reflects that the yield remains above the falling support line and if history is a guide, a rally in yields could be a positive might help push the 500 index past its 2011 highs. Watch TNX (10-year not yield) closely here since rates haven’t rallied a good deal since the last quiz, reflecting that bond buyers don’t seem to be too caught up in the stock rally.
