What will negative (short) rates do? I don't think you want to be in bonds or the dollar when that happens. Gold is spiking up today on neg. rate fears and dollar plunge fears. Soon, this will be very bad for bons in my opiinion. When TLT hit the mid $130s about a year ago, a substantial selloff followed. This time, maybe something more. Good luck all.
I agree--this panic buying could be immediately followed by a major drop in bonds, especially if the dollar sells off.
This is getting gnarly real fast.
Only option is infinite reserves and currency debasement via neg, rates. Gold to da Moon.
Sentiment: Strong Buy
These hyperinflation fears is why gold is spiking up.
I guess they could go to infinite reserves and money printing and neg. int rates, but sooner or later that means hyperinflation after the immediate deflation ends. This is Weimar Germany territory.
2008, but in 2008 the central banks could expand reserves. Now, they have bloated balance sheets and can't do that again. This is touch and go, could get scary.
The Grizzly is coming to eat you. The real panic starts when muppets realize the central banks can do nothing, they exploded their reserves in 2008/09 and not much left; This is when we could have the 1000 point down days.
Sovereign funds are dumping everything, not because they want to, but because they must. Like when you went to the pawn shop and got ten cents on the dollar.
Folks, this bear is mean and serious.
Zuckie Wuckie back to your kiddie clown car
So Zuckie Wuckie, who's WINNING now? Who's got the POPE? Who's got the TRUMP? WINNING!
Another difference--The Donald conducts a (winning) campaign on Twitter & totally ignores Facelame. Twitter is for WINNERS.
Banks oversold, and ZION hasn't got much energy exposure. Plus in a rapidly growing area. Not a Mormon myself, but most seem like people you can trust. Think this heads to mid $20s soon.
Just a tad overvalued imho.