Skolnick: USA In "Financial Anguish"Skolnick 02 Apr 2004 19:07 GMT
"We are headed for economic collapse," warns Skolnick. The Bank of Japan is pulling away from its previous support of Treasury Bills. These T-Bills are not savings bonds; they are bills and notes, debt that the U.S. promises to repay. The T-Bill market is "much bigger than the stock exchange." And these T-Bills are not especially attractive investments at this time. In 1981, T-Bills yielded 16.5 percent. Compare that with now, with T-Bills yielding almost nothing. Forget the stock market: the T-Bill market is much bigger and a collapse there would be catastrophic.