SpockG – Global Market Matrix

Here is an updated long term monthly chart of the US treasury 10 year yield. This is the benchmark for mortgages in the West.

We started to see an uncontrolled spike towards the measured move target of 5% to 6%, which would have caused the global debt markets to implode, and take the stock markets down with it.

However, a “big buyer” of debt stepped into the market, and so price is rolling here and falling back inside the expanding wedge, to avert such a scenario. Who could that “big buyer” be? The Fed and the ECB!

So on the one hand they are raising “official” interest rates, whilst at the same time buying debt in the markets, to reduce “market” interest rates. At what stage will the “market” rates become impossible to keep a lid on them?

Need to keep an eye on this chart, as the debt markets now drive EVERYTHING in the global economy. It is the very basis of the current fiat monetary system. This is the most important chart on the planet right now.