Another conundrum? Greenspan did not understand why the long bond did not react as he had anticipated. Bernanke may be sharing that sentiment right now. Despite QE2 and 600 bln of treasury (or other stuff) purchases interest rates in the longer end have actually gone up and quite a bit. The price went from 110 to 94 or somewhere around, there which is pretty close to a full % in terms of yield! We are now back in the range of the past 8 years, say between 100 and 80 and could, if my head & shoulder depiction has any validity, go as low as 60. That would be a surprise!