Bonds: Three reasons to "say no to hate"


In Orwell's great novel, 1984, the Party-INGSOC (English Socialism)-who controls the country of Oceania established a ritual referred to as "Two Minutes of Hate." During those two minutes, members of the Party express their outrage and hatred against traitors to the Party. INGSOC understood that when you hate together you form a common bond. A herd-like mentality if you will.

 Of course these sessions where completely manipulated, as the Party understood he "who controls the past controls the future" and he "who controls the present controls the past." The object of hatred one day may have been the same who was loved and adored not long ago by the Party faithful in Oceania. This to me sounds an awful lot like what is going on in the US long bond market. Hate abounds in seemly all quarters. And it is building into a solid crystalized consensus. And not too long ago, love for those same bonds filled the air.  


Currency Currents 4 February 2013