The advice is sound, very sound. Move part (at least of your portfolio to cash and sit out the worst of this bear market on the sidelines. And since you have that cash in hand, you’ll be ready to snap up bargains when the market has put in a bottom (or near the bottom, or on the way up from the bottom…or something.) But right now that’s easier said than done.
Economists surveyed by Reuters are projecting that inflation, as measured by the Consumer Price Index (CPI), will climb to 8.4% year over year for March against an 8% rate in February when data is released tomorrow before the open of the U.S. stock market.
Yesterday, March 28, a substantial piece of the Treasury yield curve fell into inversion. The yield on the 5-year Treasury climbed to 2.57%. Which put it above the yield of both the 10-year Treasury at 2.46% and the 30-year Treasury at 2.55%.
As of the close today, Tuesday, March 22, Treasuries had sold off steeply raising the yield on the 10-year Treasury to 2.38%, a huge (for the Treasury bond market) 9 basis points. The rout took the yield on the 2-year Treasury to 2.16%. On Friday,March 18, the 2-year Treasury yielded 1.94%. The bond market is taking yesterday’s comment/promise/threat from Fed chair Jerome Powell seriously
Special Report: A Recession is Coming–Part 1: Three Portfolio Strategies for a Recession today; Part 2: 10 Recession Stock Picks to come tomorrow
A Recession is coming! Probably.The odds are now high enough so that you and your portfolio should pay attention. So there are really three important questions. First, how likely is a Recession?In this Special Report I’m going to lay out the reasons for thinking that a Recession is on the way. Probably in the second half of 2022 or in 2023. Second, what strategies should you, as an investor, use to navigate in your portfolio through a Recession? In this Special Report I’m going to explain three strategies–call them general rules of the road–for investing during (and after) a Recession.
And, third, what specific stocks or bonds or ETFs or options should you use to implement those strategies to give you the biggest investing edge possible during this Recession? That’s where the 10 Recession Stock Picks come in. Look for that post tomorrow, March 22.
Inflation fears and projections of interest rate increases from the Federal Reserve continue to run amuck. It’s important to remember that the financial markets tend to over shoot on both the upside and the downside. And right now, boy, are they in overshoot mode.
America’s gross national debt topped $30 trillion for the first time last week. In January 2020, before the pandemic, the Congressional Budget Office projected that the gross national debt would reach $30 trillion by around the end of 2025. The question to me isn’t “Does this matter?” But “In what way does this matter?”
I’m starting up my videos on JubakAM.com again–this time using YouTube as a platform. My ninety-second YouTube video “Trend of the Week Even More Volatility in Treasuries” went up today.
2021 looks to end with surge in yields on the 10-year Treasury–Will that lead to a break above the range in 2022?
The yield on the 10-year Treasury is up 6 basis points to 1.54% and is now up 60 basis points in the last year. You sure could see this as evidence that yields are headed toward the magical 2% level in 2022. But we’re been here before in 2021.
I’m starting up my videos on JubakAM.com again–this time using YouTube as a platform. My eighty-first YouTube video “Why the Fed is bluffing on interest rates” went up today.
I’m starting up my videos on JubakAM.com again–this time using YouTube as a platform. My eightieth YouTube video “Trend of the Week: Ten-Year Treasury Notes are Tracking Volatility” went up today.
After today’s meeting of the Federal Reserve’s Open Market Committee the U.S. central bank said it would start slowing the pace of its monthly $120 billion in asset purchases this month. The slowdown would take place at a rate of $15 billion a month, which implies an end to the program by the middle of 2022.