Archive for the ‘Bonds’ Category:

The Madness of Crowds: How to Play Bonds, China, and Gold in 2012

{ Posted on Jan 11 2012 by Martin Hutchinson }
Yes, I know that markets are irrational. I read Charles Mackay's 1841 classic, "Extraordinary Popular Delusions and the Madness of Crowds" long before it ever became fashionable. Even so, when you think about it, 2011 must set some ...Read More »

M0 Money Supply Shrinks

{ Posted on Dec 13 2011 by Z }
The Federal Reserve reports the M0 money supply, the amount of physical cash and reserves held at the Federal Reserve by member institutions. Recently, the M0 money supply seems to be falling, indicative of big changes in the economy. Generally, ...Read More »

How to Short Treasuries

{ Posted on Sep 12 2011 by Z }
With rates at record lows, US Treasury prices are now at record highs. Investors who want to solidify their position in the next move toward rising interest rates needs to know how to short Treasuries to profit on rising rates. ...Read More »

Simon Johnson…You Get What You Pay For

{ Posted on Sep 08 2011 by Dan Crawford (Rdan) }
Simon Johnson comments on Standard and Poor's irrational ratings:Standard & Poor’s downgrade of United States government debt last month has been much debated, but not enough attention has been devoted to the fact, reported last week by Bloomberg News, that ...Read More »

Goldbugs and inflation

{ Posted on Aug 24 2011 by Dan Crawford (Rdan) }
by Mike Kimel Howard Hill on has been arguing with gold bugs: I know that some readers are going to say “Wait. The gold market is saying inflation, not deflation.” That’s not how I see it. I see the negative real ...Read More »

Bond Bubble: Bonds Yield Less than Inflation

{ Posted on May 31 2011 by Z }
Fixed-income investors are getting more than their fair share of pain in the credit bubble that is sweeping the financial markets. Recently, several large issues from A-rated corporations have produced yields that are so low they threaten to provide ...Read More »

How to Short Bonds – Is Short Selling U.S. Treasury Bonds a Good Idea?

{ Posted on May 17 2011 by Kalen Smith }
Bonds are often considered to be fairly safe investments, but their trading prices can endure as much fluctuation and volatility as stocks. As a result, it has become increasingly popular to take advantage of the opportunity to short sell bonds. ...Read More »

Interest Rate Swaps Explained – Definition & Example

{ Posted on May 02 2011 by Kalen Smith }
An interest rate swap is a financial derivative that companies use to exchange interest rate payments with each other. Swaps are useful when one company wants to receive a payment with a variable interest rate, while the other wants to limit ...Read More »

What Is IRS Capital Gains & Losses Tax – Calculate Rates & Deductions

{ Posted on Apr 13 2011 by Kira Botkin }
Whether you’re new to the world of investing, or you’re thinking of selling stocks, bonds, or real estate you’ve had for some time, it is important to consider how you’ll be taxed on those items. Since you only pay taxes on ...Read More »

Rate hikes: Cut Your Bond Holdings

{ Posted on Apr 13 2011 by Z }
Yesterday we talked about how it’s time to refinance your mortgage. With rates sure to start moving upward in the US out of necessity, it’s time to start thinking about cutting your mortgage payment and your bond exposure. High Yields ...Read More »