"Of course, the two risks may very well be mutually reinforcing: Taking on duration risk is one way investors may reach for yield, and the losses resulting from a sharp rise in longer-term rates will be greater if investors have done so."
Every once in a while you'll catch the mainstream financial news media letting a few kernels of truth slip through the bad news filter. Monday morning, CNBC (whose idea of "balanced and unbiased" is letting Rick Santelli shout for a few minutes and then promptly laughing at him) featured a story on U.S. credit card debt and household savings. The conclusion from Howard Dworkin, CPA and founder of ConsolidatedCredit.org was, and I quote, "The fact of the matter is that America is broke - whether it's mortgages, student loans or credit cards, we are broke. [emphasis mine.]" This, of course, is a conclusion ...click here to read the full article on SeekingAlpha