Announcement

Collapse
No announcement yet.

Where to invest if I'm betting on treasury rates

Collapse
X
 
  • Filter
  • Time
  • Show
Clear All
new posts

  • Where to invest if I'm betting on treasury rates

    and other interest rates increasing?
    A treasury inverse ETF?

  • #2
    I've found the quality of BYU 71's advice to be stellar in this area.

    Comment


    • #3
      It all depends on what the international banking cartel is planning. Your best bet is to be a Rothschild, Rockefeller, etc. Otherwide you might as well just go to Vegas.
      "It's true that everything happens for a reason. Just remember that sometimes that reason is that you did something really, really, stupid."

      Comment


      • #4
        Originally posted by Katy Lied View Post
        I've found the quality of BYU 71's advice to be stellar in this area.
        LOL


        I just can't help myself so here is a symbol you could look up and figure out for yourself if it is what you want, TBF.

        There are also ETF that can go 2 and 3 times short the ETF. There are those that say those type of ETF's suck. Just google short ETF and you will find those too and you can find out for yourself whether you think they suck or not.

        Please note: I am telling you where you can look some stuff up. I am in no way making any type of recommendation whatsoever.
        Last edited by byu71; 05-03-2011, 12:27 PM.

        Comment


        • #5
          I just stumbled onto this thread.

          On May 3, 2011, TBF closed at $42.90/share. Yesterday, it closed at $28.84/share, which is a 33% decrease over that approximately 3-year period. TBT, a 2x inverse fund, decreased from $140.44/share to $60.90/share over that same period, which is a decrease of 57%. TMV, a 3x inverse fund, decreased from $197.80/share to $48.48/share over the same period, which is a decrease of 75%.

          To compare, TLT, the fund that tracks the Barclays Capital U.S. 20+ Year Treasury Bond Index, moved from $94.17/share to $113.41/share over the same period – an increase of 20%. The yield on the 20-year treasury and the 30-year treasury decreased from 4.11% to 3.08% and from 4.36% to 3.35%, respectively, over that time.

          The Fed is reducing its monthly bond purchases, but its current portfolio is valued at several trillion dollars and is reinvested as it matures. Unemployment is down (arguably), but wage growth and GDP growth are essentially zero. There have been some interesting conversations over the last six months or so about secular stagnation and related topics. Any thoughts on where things go from here?
          "What are you prepared to do?" - Jimmy Malone

          "What choice?" - Abe Petrovsky

          Comment


          • #6
            Originally posted by Joe Public View Post
            I just stumbled onto this thread.

            On May 3, 2011, TBF closed at $42.90/share. Yesterday, it closed at $28.84/share, which is a 33% decrease over that approximately 3-year period. TBT, a 2x inverse fund, decreased from $140.44/share to $60.90/share over that same period, which is a decrease of 57%. TMV, a 3x inverse fund, decreased from $197.80/share to $48.48/share over the same period, which is a decrease of 75%.

            To compare, TLT, the fund that tracks the Barclays Capital U.S. 20+ Year Treasury Bond Index, moved from $94.17/share to $113.41/share over the same period – an increase of 20%. The yield on the 20-year treasury and the 30-year treasury decreased from 4.11% to 3.08% and from 4.36% to 3.35%, respectively, over that time.

            The Fed is reducing its monthly bond purchases, but its current portfolio is valued at several trillion dollars and is reinvested as it matures. Unemployment is down (arguably), but wage growth and GDP growth are essentially zero. There have been some interesting conversations over the last six months or so about secular stagnation and related topics. Any thoughts on where things go from here?
            My guess is that they either go up or down. Or maybe they hold steady.
            "I think it was King Benjamin who said 'you sorry ass shitbags who have no skills that the market values also have an obligation to have the attitude that if one day you do in fact win the PowerBall Lottery that you will then impart of your substance to those without.'"
            - Goatnapper'96

            Comment


            • #7
              TMV is under $30 right now. I'm pushing some chips in.
              "What are you prepared to do?" - Jimmy Malone

              "What choice?" - Abe Petrovsky

              Comment

              Working...
              X