Whats up with bonds?

Discussion of the Bond portion of the Permanent Portfolio

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Alanw
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Whats up with bonds?

Post by Alanw »

With TLT approaching 118, S&P index at 2,000 and the Dow over 17,000, do bond traders know something we don't? The economy, GDP and unemployment all "appear" to be improving. So why the drop in yields on LTT's?  Still seems to be very uncertain times and a great time to be diversified (even though bond yields have no where to go but up).
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Ad Orientem
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Re: Whats up with bonds?

Post by Ad Orientem »

People are getting nervous about the stock market. A lot of these recent records on the S&P 500 have been with very light trading. Stocks are moving up, but it's more of a drift than firm momentum.
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dualstow
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Re: Whats up with bonds?

Post by dualstow »

WSJ says "U.S. Treasurys shadowed euro-zone government bonds higher Wednesday as global investors anticipate more easing measures from the European Central Bank."
http://online.wsj.com/articles/u-s-gove ... 1409145538
Rates on U.S. government bonds have become increasingly attractive relative to those offered on comparable bonds across the Atlantic, helping to support Treasurys despite worries about when the Federal Reserve might tighten monetary policy.
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buddtholomew
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Re: Whats up with bonds?

Post by buddtholomew »

I exchanged another small portion of TLT holdings in a tax-deferred account to cash. These funds are earmarked for GTU when I tax-loss harvest GLD at year's end. TLT transactions have now reached 10% of pre-sales totals.
"The first principle is that you must not fool yourself and you are the easiest person to fool" --Feynman.
magneto
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Re: Whats up with bonds?

Post by magneto »

Here in the UK Gov't Bonds (Gilts) are also on a tear.
All asset classes are rising together (Stocks/Bonds/Real Estate).
IMHO we are seeing too much money slopping around the system chasing a limited supply of assets.
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