Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Politics : Ask Michael Burke -- Ignore unavailable to you. Want to Upgrade?

To: Stephen L. Smith who wrote (74876)	1/30/2000 10:24:00 PM
From: Knighty Tin	Respond to of 132070

Steve, THE long bond is the last 30 year bond issued by the Treasury. All other bonds in the 20-30 year range are off the run with the possible exception of the previous long bond, which has a somewhat between and betwixt quality. So, as of Friday, THE long bond was yielding 6.44% while off the runs were yielding as high as 6.66% (666. Hmmmm, where have I heard of that before? <g>) These are yields to maturity (YTM) and the amount you are above or below par figures into the YTM, so current yield can vary as greatly as YTM. I have always been one to go for high coupon premium bonds with a high current yield as they seem to be regularly be undervalued on a discounted basis. My second choice is zeros. THE long bond is always a bust unless you are playing some overnight repo games lending it to the street, and that hardly makes up for its lousy yield.