SI
SI
discoversearch

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.
Strategies & Market Trends : Bonds, Currencies, Commodities and Index Futures -- Ignore unavailable to you. Want to Upgrade?


To: Keith Fauci who wrote (3092)1/16/2004 12:07:44 AM
From: upanddown  Read Replies (1) | Respond to of 12411
 
Anyone know of a good way to play the next rise in interest rates? Long bond edging down towards 4.8% and I really expect a significant pop in interest rates by mid-year to at least 5.25-5.30%.

I'm looking at RRPIX ProFunds Rising Rates Opp Inv and RYJUX Rydex Juno Investor. RYJUX gives you 100% of the INVERSE move of the latest 30-yr Bond while RRPIX gives you 125% of the 30-yr bond move thru leverage.

I would like to play a rise in short-term rates but these two using long rates are all I have found.

Any other ideas?

Not interested in futures. These two seem like reasonably low-risk plays since just a return to 5% long bond would provide an approx 3% return and beat money-market returns as an alternative for parking cash.