Bonds Analysis & Opinion

We’re in an interesting situation where most developed country governments are borrowing at a rapid rate, and their central banks are financing it.  Public old age retirement and health...

Spending a couple of days at home recovering from a minor operation, I had an opportunity to watch Margin Call on DVD. Starring Kevin Spacey, Jeremy Irons and Demi Moore, the movie was a fascinating...

The main index event this month will be next week’s introduction of SGB1056, the new 20Y bond, as the ordinary rebalancing that occurs at close on Friday 9 March will comprise only minor index...

The inauguration of the new 20Y bond is due to take place next week. The bond, named SGB1056, will mature on 1 June 2023 and will be introduced through a syndication in switch auction. The SNDO buys...

We have discussed ad-nausea the challenges of investment professionals adding value consistently over time via prediction. This post highlights another example of the fallacy of...

German bonds rose for the first time this week after macro data showed that Retail Sales were weaker than market expectations, which is leading to speculation that growth in the country is slowing in...

The periphery bonds have generally rallied this year. Ireland's 10-year bond yield is off 138 bp and Italy's is off 179 bp, for example. The Iberian peninsula stands out as an exception. The Spanish...

There is an old saying among traders and investors, the bond market is always smarter than the stock market. We have seen throughout history that whenever yields start to get too high it is a signal...

When a potental economic downturn is first sensed, investors gradually start to shift into what is perceived as safe assets, namely Treasury bills, notes and bonds. As more and more investors pick up...

What makes the latest installment of the risk rally so interesting is the fact that US Treasurys – “safety” – have not become less attractive to investors even as risk has...

“We are literally running out of superlatives to describe how much we hate bonds.”  - Jeremy Grantham, GMO Advisors As of this writing, the 30-year Treasury yield is a shade above 3%....

It's amazing how things can change in just a couple of months. Back in November, we saw Italian bond yields rise to unsustainable levels as problems in Greece, Ireland, and Portugal popped out one...