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Pimco shorts treasuries


shalab
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Interesting...

 

http://www.businessinsider.com/pimco-short-treasuries-2011-4

 

The thesis seems to be that there won't be buyers for treasuries once QE2 ends pushing up the interest rates. However, the reduced government spending and increased social security taxes next year will reduce the government deficit as well which can trigger the deflationary scenario we have been talking about.

 

 

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Interesting...

 

http://www.businessinsider.com/pimco-short-treasuries-2011-4

 

However, the reduced government spending and increased social security taxes next year will reduce the government deficit as well which can trigger the deflationary scenario we have been talking about.

 

 

 

definately a possibility. and its very interesting to see many value type investors who i admire like web & gross(inflation camp) on one side of this long bond trade & watsa & who knows who else on the other (disinflation).

 

i'm agnostic. in fact i'm so much so that i dont believe it should be traded one way or the other in a big way at all....it screams for the sidelines! then again i'm just chicken.

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