I think there'll be a little more depth in the market and it will be an important week. We've been stuck in a trading range, certainly in bonds. I think we'll have more people with more money casting more of a vote. That'll be important.

The bond market is very excited about this inflation data.

Everything is going down: the price of the dollar, the price of stocks, the price of bonds.

The market has not stabilized yet.

When you start getting involved in bond math it gets complicated. (But) if you don't understand how it works you should do your homework.

We see high growth with very low inflation. These aren't mutually exclusive. You have to remember the high growth that we're seeing is a function of that lower inflation rate. If we had inflation at 3 or 4 percent, growth would be a lot slower.

Obviously, there's quite a lot of concern about what's going on around the world. Greed has been replaced by fear. There's not much rationality in a greed environment and there's not much rationality in a fear environment.

The immediate reaction was a pretty big move in rates after he suggested that there is a risk overseas troubles will hit the U.S..

This shows they are going to want to see signs financial dislocation is being transmitted to companies. The next action is likely to come only when we really see a sign of slowing in the economy.