In today's column I look at bonds, a potential breakdown and a return to sanity in the corporate bond market. What I mean by that last part is that corporates have gone a different way than Treasuries, which is odd since corporates are usually priced off Treasuries, adding a little risk premium in the form of higher yield.
Apparently, the market thinks the gubmint is a riskier proposition than even a junk bond. Are you listening Mr. Treasury Secretary? Congress? (both sides)?
Rates are going up. It is just a matter of when and I mean that on the scale of weeks, not months.
Will be on the road this week so posts here will be infrequent. Happy Holidays to all!