Anybody else short US 30 Bond

Hard to say 0.5 -1.5 Yrs? -- but the downmoves should be faster than normal. That's basically my point.

 

Agreed. But that's a worry for then.

 

I like to plan ahead :]

 

Why is there a celebration of this illusion of creating wealth via QE. Somebody is gonna pay someday and usually its Joe the Plumber.

There is no historical record or statistical evidence of sucess where such similar schemes of printing money and adding zeros to non-productive account. Its all failures where its been tried in both 1st world and 3rd world economies.

e.g Japan failed, super- inflation in Weimar Germany & recently super hyperinflation in Zimbabwe.

Surely the US is heading the same way, am I missing something here - as a trading decesion I go with the flow even if its it does not make economic sense though. sheez.

 

I would like Bernanke to answer some questions to account for his actions.

Does he think he is creating wealth?
Are the current problems facing the US economy ones of insufficient liquidity?
Can he give an example of when such unprecedented measures have worked?

Just one example versus the numerous cases of hyperinflation, worthless currencies..?

Just one.

 

You have to understand that they view QE as an exercise in risk management.

 

TBT ( Ultra short 20+Year Treasuries) looking like a great buy here today to me. Currently 32.70. I am a buyer at the close around here or lower to start building a position and putting on a swing trade as well. Figure I'll wait til after the FOMC meeting and hopefully get better prices. Looks pretty oversold here to me on a short term basis and a great entry point for anyone looking to build or swing trade a position.
I'm with Bill Gross thinking the 20-30 year bull run in bonds is over. May not be the bell ringing at the top of the bond market yet but rates have no where to go but up at some point.

 

of course the FED can go on printing $ forever which would make the holding period indefinitely greater. lol

 

He has. Numerous times in both his own speeches and the speeches of other Fed governors. So, not to put words in his mouth:

(1) Creating wealth - not directly; QE2 is aimed to avert a second dip recession. Recession is obviously wealth destroying.
(2) No. QE1 was about liquidity. QE2 was about averting a contraction in an environment where interest rate targeting is possibly ineffective.
(3) No. He, and others, have stated that we are in the 'experimental phase' of monetary policy. Japan has shown us that QE doesn't have to mean hyperinflation (it's own problem goes beyond whether its QE worked or not - and I agree the ultimate utility of QE is questionable).

 

The FED open communication channel worked. Not Shock and Awe. So there should not be much of a move either way.