Some of you may have heard some noise in the media over the past week about the small dip in ...
Risky Investments
Risky Investments
February 19, 2012
Sound familiar? I’ve been saying this for 35 years!
http://finance.fortune.cnn.com/2012/02/09/warren-buffett-berkshire-shareholder-letter/
More on the debt ceiling
July 14, 2011
Part 2 of the First Trust Portfolio’s series on the debate over raising the debt ceiling. Watch and learn the difference between truth backed by facts versus sensational “news” broadcast to sell advertising.
Click here: First Trust - www.FTPortfolios.com
Don’t believe the hysteria
July 13, 2011
The treasury will not default. Politicians are not good at math and do not want you to be either. They may have to give up some of their pet projects or sweet deals.
http://blogs.marketwatch.com/fundmastery/2011/07/12/the-u-s-treasury-will-not-default/
Leading Bond Manager Turns Bearish on Long Term Treasuries
October 27, 2010
Fortune - Those buying Treasury bonds at record low yields are turkeys being led to slaughter, Pimco's Bill Gross writes.
Gross, manager of the world's biggest bond fund, writes in his monthly investment outlook newsletter released Wednesday that the 30-year-long bull market in bond prices will end next Wednesday. That's when the Federal Reserve is expected to announce it will start another round of asset purchases known as quantitative easing.
The market has been anticipating QE2, as this second attempt at loosening financial conditions is known, for some time now. Bond yields have plunged to lows last seen half a century ago, as the economy has visibly weakened and traders have rushed into bonds ahead of the voracious Fed appetite for debt.
At the same time, investors are worried that the Fed will eventually succeed all too well in restoring economic growth. Some rushed this week to lock in a negative nominal return on some inflation-adjusted bonds in hopes of hedging against a successful Fed campaign to boost inflation.
But however QE2 goes, bond prices can't keep soaring forever, Gross warns. That's because ultimately the United States must come to grips with its fiscal profligacy – a process that won't be pretty for those holding fixed-income securities.


