How the $700B bailout will affect Treasury Bonds?

Discussion in 'Financial Futures' started by crgarcia, Sep 27, 2008.

  1. Is it already priced in?
     
  2. morreo

    morreo

    We will see a nose dive on the treasuries just like the night of the Fannie Mae, Freddie Mac bailout.

    The government has to finance that money from somewhere. That somewhere are treasuries. (supply must go up so price must come down). No, it's not priced in because not everyone is convinced the bailout will occur.