Via Steinn, who got it from CR, this delightful story of how people are now so scared of losing unknown amounts of money they are prepared to sign up to a certain but small absolute loss (and thats neglecting inflation).
They should buy our shares, like I did earlier this week, and they actually went up! Mind you I don’t think we could absorb $57B input.
More lower down… At least three Treasury money-market funds run by JPMorgan Chase & Co., Evergreen Investments and Allegiant Asset Management recently stopped taking outside cash, according to Web site notices and regulatory filings. Barring new customers protects returns for investors already in the funds because managers don’t have to buy as many new Treasuries with yields lower than current holdings. Higher fund yields also prop up management fees. which is fun. But its good news for the Govt, of course: The record low borrowing costs for the Treasury Department may turn out to benefit President-elect Barack Obama as he faces a widening budget deficit while pledging to embark on the biggest U.S. public works plan since the 1950s to stimulate the economy.