• 288 days Will The ECB Continue To Hike Rates?
  • 288 days Forbes: Aramco Remains Largest Company In The Middle East
  • 290 days Caltech Scientists Succesfully Beam Back Solar Power From Space
  • 690 days Could Crypto Overtake Traditional Investment?
  • 695 days Americans Still Quitting Jobs At Record Pace
  • 696 days FinTech Startups Tapping VC Money for ‘Immigrant Banking’
  • 700 days Is The Dollar Too Strong?
  • 700 days Big Tech Disappoints Investors on Earnings Calls
  • 701 days Fear And Celebration On Twitter as Musk Takes The Reins
  • 702 days China Is Quietly Trying To Distance Itself From Russia
  • 703 days Tech and Internet Giants’ Earnings In Focus After Netflix’s Stinker
  • 707 days Crypto Investors Won Big In 2021
  • 707 days The ‘Metaverse’ Economy Could be Worth $13 Trillion By 2030
  • 708 days Food Prices Are Skyrocketing As Putin’s War Persists
  • 710 days Pentagon Resignations Illustrate Our ‘Commercial’ Defense Dilemma
  • 710 days US Banks Shrug off Nearly $15 Billion In Russian Write-Offs
  • 714 days Cannabis Stocks in Holding Pattern Despite Positive Momentum
  • 715 days Is Musk A Bastion Of Free Speech Or Will His Absolutist Stance Backfire?
  • 715 days Two ETFs That Could Hedge Against Extreme Market Volatility
  • 717 days Are NFTs About To Take Over Gaming?
readtheticker

readtheticker

readtheticker

We are financial market enthusiasts using methods expressed by the Gann, Hurst and Wyckoff with a few of our own proprietary tools. Readtheticker.com provides online…

Contact Author

  1. Home
  2. Markets
  3. Other

The Bond Kings Have Been Schooled

The Bond Kings Have Been Schooled

Bill Gross and Jeffrey Gundlach are magnificent bond fund managers, they are known as the bond kings. Recently, both bond kings have suffered large redemptions within their bond funds as losses are realized due to interest rates rising.

However those that follow cycles would have placed in their 2013 playbook that the forecast for interest rates was up due to a cycle bottom expected mid 2013. When price action supports the cycle you must respect the cycle. This time it is very different as the impulse move from the low for interest rates has been spectacular and suggest there is more to go. 3.25% is an easy target.

The following cycle was determined by the RTT Cycle Finder Spectrum and What If tools.

30-Year US Treasury Bond Chart

The funny thing is that, the only buyer of bonds is the US Federal Reserve, every other major participant is a net sellers of US paper. Every newsletter writer has been touting the risk of breaking the 30 year trend trend line from 1982, so you have to guess if that line is to be defended more buyers will be needed to buy US paper along with the FED. Q: How can you get more folks to buy US paper? A: Have a market crash or serious correction to force a flight to safety from stocks to bonds. Just saying!

Investing Quote...

"Frequent requests are made for the name of someone who will teach the Art of Tape Reading. I do not know of anyone able to read the tape with profit who is willing to become an instructor. The reason is very simple. Profits from the tape far exceed anything that might be earned by charging tuition fees to his students. Its simple economics." ~ Richard D Wyckoff

"The time of maximum pessimism is the best time to buy and the time of maximum optimism is the best time to sell." ~ John Templeton

 

Back to homepage

Leave a comment

Leave a comment