Bill Gross, the bond investing legend who runs the world's biggest fixed income fund at PIMCO, last week declared in a tweet that the 30-year secular bull market in bonds ended on April 29, 2013.
However, that doesn't mean bonds are about to enter a bear market, says Gross today in another tweet – in fact, they may never enter a bear market:
Gross: 30-yr bond bull mkt over but bear mkt begins only with consistent 2-3% real & 4-5% nominal GDP growth. Not there yet. Maybe never.— PIMCO (@PIMCO) May 13, 2013
Typically, the beginning of a bear market is marked when an asset class falls 20% from its previous peak.
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