The Dutch Tulip (1630s), South Sea (1720), Japan’s Real Estate and Stock Market (1980s), The Dotcom (1990s), and US Housing (mid 2000s) Bubbles combined together and many times more, have nothing on the US and World Debt Bubble (2021? 2022? or …).
The US 10-year Treasury Note has nearly quadrupled since its low of 0.36% on 9 March 2020 to 1.36% on 19 February 2021.
Any scholar of technical theory would argue that the triple bottom of 1.375% on 25 July 2012; 1.321% on 6 July 2016; and 1.42% on 3 September 2019 should hold. After all it was rejected on 19 March 2020 at 1.276%. See the attached chart.
Ideally, it should hold and retrace back to the 1.20% handle. This would give the stock market perhaps one last chance to march towards, or even make new highs, as well as the housing market to accommodate those that feared they have missed out.
Do not fade the damage that the 10 Year Treasury Note can inflict should it decide it is time to implode the debt bubble.
