Bond Outlook November 21st

We are almost beginning to believe that there might be something in the “Tuesday effect” we half-jokingly hypothesised last week. It is not just that Tuesdays are proving to be positive for the DJIA, but that the market rebounds are happening despite a series of bad news. This week there has been no shortage of negative announcements. Whereas a couple of weeks ago the talk was of USD 20 billion announced losses from sub-prime out of a likely total loss of USD 100 – 200 billion, now it is USD 50 billion out of a likely total of USD 400 billion.