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Strategies & Market Trends : US Inflation and What To Do About It -- Ignore unavailable to you. Want to Upgrade?

To: RetiredNow who wrote (1132)	10/4/2019 8:58:15 PM
From: John Vosilla	Read Replies (2) \| Respond to of 1504

Grim choice for investors: Accept very low bond yields or face a 50% crash in stocks, strategist says The 30-year Treasury note TMUBMUSD30Y, -0.89% is yielding around 2.19%, making it the only interest rate left among G-20 developed countries above 2%, he says. “That is a high yield, that’s what you dream for,” Bianco tells MarketWatch in an interview. “The 30-year bond is up 22% this year, it’s well ahead of the S&P. Especially if you look at negative yields in Europe, this has been one of the best years in history to own fixed-income securities, especially investment grade from a return perspective.” “I don’t think the world can handle high rates anymore,” Bianco said, recalling how a year ago, the yield on the U.S. 10-year bond TMUBMUSD10Y, -0.39% hit 3.25%, and the S&P 500 fell nearly 20%. When the Fed backed off interest rates and promised to be patient in early January, the market rebounded. “What we showed was we went to 3.25% for a couple of weeks and the U.S. stock market broke,” he said. “I don’t think there’s any way we can get to 4% or 5%, without this creating a lot of damage.” marketwatch.com I think part of reason homebuilders so strong is mortgage rates will be under 4% for a while?? New starter homes for 30 something Millenials HUGE business and the numbers will work for now in most markets of growth.. https://www.marketwatch.com/story/bond-yields-arent-going-any-higher-and-if-they-do-stocks-will-crash-says-james-bianco-2019-10-02