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This graph shows the A2/P2 spread from the Fed's commercial paper report. The A2/P2 Spread hit 586 bp as of Friday.



When the A2/P2 spread spiked to 160 last year that was considered shocking; now that spike looks minor.



Maybe that was holiday related, but look at the 10 year Treasury yield:



This shows the 10 year yield since 1962. The current yield is at 2.72%.



This is the lowest yield in the 46 year history of the 10 year treasury note.



This spike was probably because of comments by Fed Chairman Ben Bernanke that the Fed might buy longer term treasuries.

[T]he Fed could purchase longer-term Treasury or agency securities on the open market in substantial quantities. This approach might influence the yields on these securities, thus helping to spur aggregate demand.

Neither of these graphs suggest anything positive for the credit markets or the economy.