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

Billionaires Are Pushing Art To New Limits

Welcome to Art Basel: The…

How Millennials Are Reshaping Real Estate

How Millennials Are Reshaping Real Estate

The real estate market is…

Is The Bull Market On Its Last Legs?

Is The Bull Market On Its Last Legs?

This aging bull market may…

  1. Home
  2. Markets
  3. Other

Are Bonds in Trouble?

Last week, we commented that Richard Fisher's (of the Dallas Fed. Reserve) said that the Fed should cut bond buying activity fast ... even if the stock market tumbles.


Why mention this again?

Because Mohamed El-Erian just announced that he will be leaving PIMCO in mid March. You have to wonder why he's leaving. Just a week ago, he commented that PIMCO was ready to push harder on the equity asset side (worried about bond yields?). Did that create a division of loyalty or conviction between Gross and El-Erian? It was Gross who commented that El-Erian would take over his spot when he retired (he's 69 now).

Putting the two events together (Fisher and El-Erian ... aka the Fed and PIMCO) makes you wonder if there is a connection that you should be concerned about?


Today's chart is a look at the 30 year Bond yields. The recent low was made in July of 2012 and the yields have been up trending up since then ... in spite of the Fed.

Note the current battle ground where the resistance and the support are converging on each other. The current concern is about which way the 30 year yields will break ... to the upside or downside? Bernanke is pushing for the downside, but Fisher is saying whoa ... we are getting into bubble territory. This should have bond investors concerned with their antenna up.

TYX - 30 Year Yeilds - Monthly Chart

 


We are now offering a FREE 10 Day Trial to our complete Advanced Investor Subscription
with this and over 20 charts and analyses: Click Here for more information.

 

Back to homepage

Leave a comment

Leave a comment