The Fed, Allan Greenspan, has repeated that they will continue to raise the Fed Funds Rate until the Economy is under control. Traders and institutions are buying up the available Government paper for their own accounts and in preparation for the upcoming Stampede.

Should the Equity Market continue its recent performance, more and more near retirees will watch their inflated cushion begin to shrink and will shift any remaining profits to fixed income. As the Rule of Thumb is that the Federal Government can not go Bankrupt, many people will look to park their cash there, until the Equity Market stabilizes and a new dip buying opportunity presents itself.

Poor Bovine, they will be scarred by the claws of the Raveger no matter which way they go. They will pay a high premium for the Government Bonds then take a beating when rates continue to rise and the premium evaporates, when the Traders dump.