{"id":20674,"date":"2015-05-07T10:02:24","date_gmt":"2015-05-07T14:02:24","guid":{"rendered":"http:\/\/ssgreenberg.name\/PoliticsBlog\/?p=20674"},"modified":"2015-05-07T10:02:24","modified_gmt":"2015-05-07T14:02:24","slug":"wolf-richter-smart-money-prepares-to-profit-from-bond-market-rout","status":"publish","type":"post","link":"https:\/\/ssgreenberg.name\/PoliticsBlog\/2015\/05\/07\/wolf-richter-smart-money-prepares-to-profit-from-bond-market-rout\/","title":{"rendered":"Wolf Richter: \u201cSmart Money\u201d Prepares to Profit from Bond Market Rout"},"content":{"rendered":"

Naked Capitalism<\/em> has the article Wolf Richter: \u201cSmart Money\u201d Prepares to Profit from Bond Market Rout<\/a>. The article finishes with the following:<\/p>\n

\nAnd bondholders carry all the known and unknown risks of those four decades in return for what is still a minuscule amount of yield. That\u2019s why the ultimate smart money is selling them at a record pace to still eager bond-fund managers that will stuff them, and all the associated risks and potential losses, without compunction into retirement nest eggs. Thank you hallelujah central banks for this deal of a \u201clifetime.\u201d\n<\/p><\/blockquote>\n

From this article, I next read the Marketwatch<\/em> article Why stocks may find it tough to wiggle out of the bond-market mess<\/a>. THis article starts with the following:<\/p>\n

\n\u201cThe latter part of 2014 and the dawn of 2015 will probably represent one of those episodes in financial history when the fixed-income markets were gripped by a confluence of factors that is unlikely to be repeated over the next hundred years,\u201d said Jefferies\u2019s chief equity strategist, Sean Darby.<\/p>\n

There\u2019s fodder for your future tales of battles past this morning, as Fed Chairwoman Janet Yellen\u2019s assets-are-bubbly comments continue to rattle global markets, which have already been duly freaked out by plummeting global bonds. She\u2019s hit us at a tough time.\n<\/p><\/blockquote>\n

You know my financial advice is worth every penny you pay for it, but these articles just confirm for me why I wouldn’t buy bonds at the current historically high prices for them. At least with stocks there is the possibility that a company can grow into the inflated price of its stock. With a bond, there is not even this chance to justify the current high prices.<\/p>\n

In these days of computerized trading, you don’t even get paper to cover your walls when you find the bonds to be worthless to sell.<\/p>\n","protected":false},"excerpt":{"rendered":"

Naked Capitalism has the article Wolf Richter: \u201cSmart Money\u201d Prepares to Profit from Bond Market Rout. The article finishes with the following: And bondholders carry all the known and unknown risks of those four decades in return for what is still a minuscule amount of yield. That\u2019s why the ultimate smart money is selling them […]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[166],"tags":[],"class_list":["post-20674","post","type-post","status-publish","format-standard","category-stevegsposts","czr-hentry"],"_links":{"self":[{"href":"https:\/\/ssgreenberg.name\/PoliticsBlog\/wp-json\/wp\/v2\/posts\/20674","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/ssgreenberg.name\/PoliticsBlog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/ssgreenberg.name\/PoliticsBlog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/ssgreenberg.name\/PoliticsBlog\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/ssgreenberg.name\/PoliticsBlog\/wp-json\/wp\/v2\/comments?post=20674"}],"version-history":[{"count":1,"href":"https:\/\/ssgreenberg.name\/PoliticsBlog\/wp-json\/wp\/v2\/posts\/20674\/revisions"}],"predecessor-version":[{"id":20675,"href":"https:\/\/ssgreenberg.name\/PoliticsBlog\/wp-json\/wp\/v2\/posts\/20674\/revisions\/20675"}],"wp:attachment":[{"href":"https:\/\/ssgreenberg.name\/PoliticsBlog\/wp-json\/wp\/v2\/media?parent=20674"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/ssgreenberg.name\/PoliticsBlog\/wp-json\/wp\/v2\/categories?post=20674"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/ssgreenberg.name\/PoliticsBlog\/wp-json\/wp\/v2\/tags?post=20674"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}