Another confusing item in a confusing market?

The Templeton Emerging Market Income Fund (TEI) came within $.10 of our $17 target yesterday.  I got out in the 16's, took the NAV profit and got a quarterly dividend.  All good. 

But part of the reason I sold was due to this graph that was shown in NFTRH, which is TEI's price to NAV premium. 

I mean, we all know the world is ending in a deflationary sprint to Uncle Buck, right?  Yet this emerging market bond fund blew off and people had to get in just like gold bugs do when they used to pump the Central Fund of Canada too far above its NAV.  It seems like a danger sign so I took the profit.

Still, I think the strength of global bonds is a telling thing and it remains an area of interest going forward.  This for several reasons, not least of which is Jon's 'global leveling of the playing field' -TM.  As the west continues to balloon its debt structure, could the emerging markets be considered a safe haven of sorts? 

Yeh yeh I know, the venerable US T bond market is the ultimate safe haven.  But the difference is that a free market appears to be buying the emerging bonds.  When this premium to NAV calms down a bit, I want TEI back.

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