USA Today writes "Wall Street debates prospect of bond bubble". It asks, "Is a bubble brewing in the normally sedate U.S. government bond market? That's the big debate raging on Wall Street. Heavy buying of 10-year Treasury notes by investors in search of a safe place to park cash, as well as higher yields than available on certificates of deposit, is pushing prices of government-issued debt sharply higher -- and knocking yields down to levels last seen 17 months ago in the depths of the financial crisis. In early April, the 10-year note yielded nearly 4%. On Friday, it was 2.62%, and last week, it hit its lowest yield since March 2009. Its all-time low yield was 2.06% in December 2008, three months after the collapse of Lehman Bros. nearly sparked a global financial meltdown. Those warning of a bubble say the infatuation with U.S. Treasuries -- long considered one of the safest investments in turbulent times -- may be morphing into a fatal attraction." See also, Bloomberg's "Bond Funds Gain Cash Like Stocks in Dot-Com Era: Credit Markets".

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