Tag: AU10Y

In the beginning of 1980s interest rates and inflation started to trend lower. They have trended lower ever since and they got to levels never seen before in the history of mankind. It feels that we have forgotten they could ever rise again. Inversely the same is true for bonds. But I think we are witnessing one of the greatest generational shifts that are happening right in front of our eyes.

What if interest rates and inflation are about to rise for the next 3 decades while treasury bond bubble is about to burst with bond prices trending lower in the same period?

Most media don’t even cover this topic. They’re too focused on clickbait stories. I covered this topic last September in But aren’t bonds supposed to only go up? and three weeks ago in Bond breakdown? posts. But it’s so important I need to give you another update.