Relax, Junk Bonds Aren’t Predicting a Market Crash

Discussion in 'Wall St. News' started by dealmaker, Dec 2, 2017.

  1. #11     Dec 3, 2017
  2. dealmaker

    dealmaker

    #12     Dec 3, 2017
    zdreg likes this.
  3. eurusdzn

    eurusdzn

    Us treasury yield curve is growing more flat and bearish.
    Seems the fat kid is on the long duration side of the yield see-saw and his ass may hit the ground in the near future.

    New government borrowing will be cheap in 2018.

    Seems a lot of interest to increase duration and accept such poor time and risk premium. Any real flight to safety in an equity correction would hammer these yields.

    The fed has quietly begun their selling/tightening balance sheet reduction in a slow manner but it does not seem they need to worryof theiroperations imcreasing rates.
    Really, does any of this matter beyond a playground for phd's with tools.
    All operations will be taking place in a 100bp. to 200bp. band?

    At least the fed seems to be adopting counter/balancing policies to tax cuts and repatriation to come by raising fed funds rate and balance sheet reduction.
    Seems they could sell/ reduce at a faster pace.
    One would have thought that a pro growth fiscal stimulus package would not signal deflation in the bond market.
     
    Last edited: Dec 4, 2017
    #13     Dec 4, 2017
  4. dealmaker

    dealmaker

    Is $10,000 Gold What Investors Want? - Jim Rickards

     
    #14     Jan 27, 2018