Monday, March 22, 2010

Obama Pays More Than Buffett as U.S. Risks AAA Rating

Two-year notes sold by the billionaire’s Berkshire Hathaway Inc. in February yield 3.5 basis points less than Treasuries of similar maturity, according to data compiled by Bloomberg. Procter & Gamble Co., Johnson & Johnson and Lowe’s Cos. debt also traded at lower yields in recent weeks, a situation former Lehman Brothers Holdings Inc. chief fixed-income strategist Jack Malvey calls an “exceedingly rare” event in the history of the bond market.

A rare and possibly and important event. It's the market's way of saying at least we know that Buffett doesn't believe that money grows on trees.

Source: bloomberg.com

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