Bond Bears Come Out of Hibernation
The bond bears are coming out of hibernation again. We have actually seen a steady stream of bearish bond calls over the past few years:Jim Rogers and his constant announcements of having "shorted the Treasury market," Peter Schiff's hilarious forecasts of soaring interest rates because the Chinese were going to start dumping Treasuries, Naseem Taleb's, "Everyone in the entire world should do themselves a favor and short Treasuries," and Bill Gross and his, "Who's gonna buy them now?" warnings back in 2011.
The worries now are that the Fed is closer to reversing its accommodation and when it does, it's going to have to sell its vast holdings of Treasuries. That's not only going to collapse the market, but it's also going to unleash pandemonium. We're going to witness a disorderly decline as never seen before when panic selling ensues and there are no buyers....258 more words left in this article. To read them, just click below and try Real Money FREE for 14 days.
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