even lower today, 9385.9. That appears to be a sign that it has peaked and it's going to head lower rather than test its previous highs. By the way, the last time the market was above that nominal level (that is, not corrected for inflation) was at the end of 2007 - well before the '08 crash.
As the commercials say: wait! There's more! ZeroHedge reports all major bond prices are up: the 10 year bond has hit a 25 month high, and:
10Y rates tagged 2.89% and 30Y 3.90% all pushing back to the pre-US-downgrade (debt-ceiling) levels of summer 2011. The 10Y yield has just joined the 30Y trading wider than they did when stocks hit their lows in March 2009. ...As I've said here before, because most everyone says it, nothing will collapse the US faster than interest rates going up much higher. This raises the interest on our debt, raising the percentage of GDP that we spend on debt service, and squeezing off every other target they want to spent money on. A bit earlier in the day, when 10Y rates were 2.873, ZeroHedge wrote a piece with some "inside baseball"comments on the Fed and the departure of Bernanke. Interesting reading.
and for some context... 10s and 30s are now higher in yield from the March 2009 lows while 5Y and 7Y remin 26bps lower (for now)...
Why would bond sales go down? There are many reasons, not the least of which is that bond buyers realize that they might not be getting a fair yield for the inflation they see in the US; not enough yield for the risk they're taking. Seeking Alpha reports buyers might be upset about the prospect of "tapering" by the Fed (turning off the printing press) - that could include thinking if the money pump gets shut off, bad things will follow and they surely won't get anything for their bonds.
As I poke my head out of my secret bunker of solitude, one hand lifting the manhole-like cover, an Uzi clenched tightly in the other, I have to say it looks riskier than usual out there. Time for me to retreat back into the bunker, have some leftover pizza, and try to figure out ways to survive.