Gotta love ZERO RISK in the SP500 = $$$
- Thread starter makloda
- Start date
A lot of that cash will stay as cash when interest rates rise, not only here, but in Asia and Europe.
The money market risk free return will tempt sideline cash to wait out any correction.
You also have a real chance of liquidity contraction now - even Blackstone is renegotiating its libor+ interest rates with their lenders (it was in Bloomberg).
That Blackstone story has GOT to tell us all something very significant. Private equity is complaining about their debt cost.
*edit - makloda, here is the Blackstone, KKR story http://www.bloomberg.com/apps/news?pid=20601109&sid=atURsGnAlBx4&refer=home
Well, I tried a couple of long trades this morning that didn't work out. Lost a couple G's while expecting the bulls to actually hold a rally for the first time since Thanksgiving 2006.
Fortunately, RevShark and ilk were there for us to provide liquidity when we switched to the other side. Long was wrong this morning, but what else is new in the persistently sideways trend?
Fortunately, RevShark and ilk were there for us to provide liquidity when we switched to the other side. Long was wrong this morning, but what else is new in the persistently sideways trend?
