RETURN OF DEPRESSION ECONOMICS

People are so scared of collapsing markets that they are now taking their money and "investing" it in U.S. treasury notes that pay a return of zero. That's right, for many investors a 0% return on investment is seen as a better bet than corporate America.

This is the functional equivalent of stuffing money into a mattress.

This "investment" logic is not only tied to investor concerns that they will lose money by leaving it in the market, but that a deflationary cycle is just around the corner. This is a defensive strategy, and does not bode well for our future.

Worse, the last the time this happened was during the Great Depression.

- Mark