Market Watch with Tom Waitt

April_27th_2011.mp3 Dove or Hawk?    Today the U.S. Federal Reserve Chairman Ben Bernanke will hold a press conference, which is very rare; historically a statement is delivered but not a question and answer session.   30 Year Treasury Bond Yields (Click For Larger Picture) Many investors jumped out the frying pan and into the fire, in 2008 after losing 36% in stocks many investors ran into 30 year U.S treasuries which yielded only 2.83% in January 2009 and rose to 4.76% by June 2009 a loss of capital of over 25%. Out of the frying pan and into the fire. Historically through thousands of years it has been found the normal rate of interest is 7%. If we move to that level U.S. 30 year Treasuries will lose a further 30% of their principal value. In 1981 some will remember the Canadian prime rate reached 23% and reached 2.25% in 2009. Many conservative investors could find their savings tied up in bond funds in the wrong place at the wrong time. There are many opportunities to make