Collapsing Yields

Jump back, got to get out of here
Been too, too long this time
Jump back, got to get out of here
When will, when will we fall down
--Toad the Wet Sprocket

If falling 10 yr yields can be viewed as a measure of fear then we're getting a pretty good dose of it this am. T-note yields have collapsed more than 15%, and the TNX was wearing a 6 handle (that's .6% for the uninitiated) for a while before lifting some.

Some folk are saying that the zero bound is inevitable and not too far off. A different view is that we're in the midst of a blow off bottom--at least in the near term.