U.S. Treasury debt rallied further on Monday, with 30-year bonds jumping 2 points in price, as Germany poured cold water on expectations of a quick solution to the European debt crisis.
U.S. Treasury prices surged as the euro and global markets reacted to comments by German Finance Minister Wolfgang Schaeuble, who warned that the upcoming European Union summit would not produce a definitive solution to the euro zone sovereign debt crisis.
In layman's terms, the bond market is telling us that the economy is going to be lackluster to bad over the next few quarters. How long right now is anybody's guess. But as investors we need to be aware of our environment.
If you have a choice, always listen to the bond market over the stock market as that is where the smart money is at. Stocks fuel the growth of our industrial base but bonds are where the banks, sovereign nations and billionaires have their money.
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Always Looking to Acquire Houses | Always Looking to Amaze Investors
U.S. Treasury debt rallied further on Monday, with 30-year bonds jumping 2 points in price, as Germany poured cold water on expectations of a quick solution to the European debt crisis.
U.S. Treasury prices surged as the euro and global markets reacted to comments by German Finance Minister Wolfgang Schaeuble, who warned that the upcoming European Union summit would not produce a definitive solution to the euro zone sovereign debt crisis.
The whole article can be read at:
http://www.cnbc.com/id/44927579
In layman's terms, the bond market is telling us that the economy is going to be lackluster to bad over the next few quarters. How long right now is anybody's guess. But as investors we need to be aware of our environment.
If you have a choice, always listen to the bond market over the stock market as that is where the smart money is at. Stocks fuel the growth of our industrial base but bonds are where the banks, sovereign nations and billionaires have their money.
Always Looking to Acquire Houses | Always Looking to Amaze Investors