Gary Shilling, who runs A. Gary Shilling & Co, told Bloomberg TV on 9/28/2011 that the global economic slowdown and deflationary forces will send the 30-year Treasury bond yield to 2.5%, where it bottomed on 12/18/2008 after Lehman went bankrupt. He also believes the S&P trades down to 800 when S&P EPS (earnings per share) falls to $80 with a 10 multiple (P/E ratio). On 10/3/2011, three business days after this interview, the U.S. 30-year Treasury bond yield hit a low of 2.71%. Will it double bottom at 2.5% or blow through that level and hit 2%, where Japanese 30-year government bond yields are at (1.91%!). He says beware of a hard landing in China hitting agricultural and industrial commodities (they are already taking a beating). Watch the video below.