Bonds 04 (Jul 15 - Aug 17)

[winston]

Here’s Why High Yield Bonds Are Much Riskier Than Most Investors Realize

by MICHAEL LEWITT

Source: Sure Money

http://suremoneyinvestor.com/2016/08/he ... s-realize/

[winston]

Bonds (10 year): 1.62% versus 1.58%.

Bonds as you would expect sold after Fed speeches considered more hawkish.

It was not that clear initially, however, as bonds rallied higher before then falling.

Source: Investment House

[winston]

Bonds (10 year): 1.601% versus 1.57%.

The pattern is tightening up a bit as TLT still holds the lateral move over the 50 day EMA.

Testing the 50 day EMA late week, showing a doji at that level Friday.

The TLT pattern still shows a bullish setup consolidating the June to early July bond rally.

Source: Investment House

[winston]

The Great Bond Shift Rolls On

Evaluate your portfolio to determine the best mix of assets in this market

By David Fabian

If there is one major theme that pervades the financial markets this year, it’s the shift from stocks to bonds.

You can romanticize about the momentum in gold stocks. You can peek over at emerging market strength, but nothing compares to the pervasive re-allocation of global assets.

According to Investment Company Institute data released last week, stock mutual funds and ETFs recorded another $6.6 billion of weekly outflows. Bond funds added $6.4 billion of new money. Their eighth consecutive week of inflows.

Reuters is reporting that in just the first six months of 2016, investors pulled $64 billion from stocks and added $104 billion to bonds based on ICI data.

That’s a big vote of confidence towards the continued trend of falling interest rates and thirst for yield.

Source: FMD Capital Management

http://investorplace.com/2016/09/the-gr ... 836oph96M8

[winston]

The 3 Best Bond Funds for the Next Decade

These three bond funds could be standouts over the next decade

By Kent Thune

Source: Investor Place

http://investorplace.com/2016/09/3-best ... 89YNph96M8

[winston]

This ‘safe haven’ trade is poised to break out

by Jeff Clark

Get ready for a big move in Treasury bond prices.

Two months ago, long-term Treasury bonds – or “T-bonds” – were coming off one of their strongest rallies ever.

But the chart of the iShares 20+ Year Treasury Bond Fund (TLT) – an exchange-traded fund that tracks the price of long-term T-bonds – was forming a precarious rising-wedge pattern.

Placing any sort of a trade on TLT at this point is at best a 50-50 bet.

All we can say for sure is there is a big move coming.

Perhaps the best strategy for this situation is to wait for TLT to break out one way or the other and then hop on board. The next move should be big enough to profit even for traders who don’t jump in ahead of time.

Source: Stansberry Short Report

http://thecrux.com/top-trader-this-safe ... break-out/

[winston]

BoJ selling long term bonds ?

The Bank of Japan, worried about the negative impact of ultra-low long-term yields on pension liabilities and bank earnings, could conduct a “reverse Operation Twist” to sell long-term bonds and buy short-term bonds.

The problem is that with long-term interest rates already so low, and because of the inherent duration leverage that results, this will create bigtime losses for long-term bonds.

Already, Japanese 40-year bonds have suffered a near 20% decline in price in recent weeks.

Source: Investor Place

[winston]

Watch out for bonds—they’re pointing to bad news for stocks: Technician

by Annie Pei

Ross charted the TLT, which tracks longer-term Treasury bonds, to show what he sees as a further drop in bond prices

How much farther could bond prices fall? To make that prediction, Ross points to the appearance of what he calls a "pennant" pattern, a period of consolidation in the TLT that could signal a break to the downside.

The height of the pattern was at $144 and the low point was at $138, which leads Ross to conclude that a break downward would see the TLT tumble another 6 points.

In other words, the TLT could hit $132, and if Friday's trends are any indication that means stock prices could fall even further as well.

Source: CNBC.com

http://www.cnbc.com/2016/09/09/watch-ou ... yptr=yahoo

[winston]

Watch out for bonds—they’re pointing to bad news for stocks: Technician

by Annie Pei

Ross charted the TLT, which tracks longer-term Treasury bonds, to show what he sees as a further drop in bond prices

How much farther could bond prices fall? To make that prediction, Ross points to the appearance of what he calls a "pennant" pattern, a period of consolidation in the TLT that could signal a break to the downside.

The height of the pattern was at $144 and the low point was at $138, which leads Ross to conclude that a break downward would see the TLT tumble another 6 points.

In other words, the TLT could hit $132, and if Friday's trends are any indication that means stock prices could fall even further as well.

Source: CNBC.com

http://www.cnbc.com/2016/09/09/watch-ou ... yptr=yahoo

[winston]

Bonds (10 year): 1.67% versus 1.61%.

After selling through the 50 day EMA Thursday, TLT gapped sharply lower and through the late June upside gap.

Bonds broke this past week.

Source: Investment House