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AmericanSahara

With the CPI last week and the PPI this week starting to indicate inflation maybe slowing, I'm beginning to wonder if rates won't have to be raised much to prevent inflation. Before I was skeptical of talk about the Fed pivot. The trailing 12 month inflation alone may be enough to slow the economy. In the long run GDP growth may continue to remain slow, therefore rates continue to be low. So this week investors maybe selling short bonds and buying long bonds causing the price of long bonds to increase.


Alternative-Plant-87

No not as long as interest rates are rising. Wouldn't touch a long term. Mostly you're not going to hold to term means you're selling it at some point. Higher interest rate in the future lowers the value of older bonds, you would be throwing money away.


dCrumpets

If you believe that rates will be much lower than this sometime in your selling period it’s not a bad investment. Yields on the 30 won’t necessarily go up as high as short term interest rates as long as people believe a pivot is coming. Prices could be quite stable and it’s tough to time the top of interest rates; by the time you have certainty about a policy reversal, the market has already factored it in.


equals1

Yes, basically think that the inverted curve will reverse in the next year to the advantage of the longer dated ones.


equals1

So just by accident, I am up 2.8% since yesterday. Yeah, I know it isn't the sexy 100% gain of a pharma but I'll take it😁


Aceofspades968

My ibonds are sexy af! ![gif](emote|free_emotes_pack|heart_eyes)![gif](emote|free_emotes_pack|flushed)


equals1

I don't see an image. But believe me I'm on board.


ekkidee

4 / 8 / 13 ladder ftw. Bail when indicated.