THE GURU’S CORNER
Yields will continue to rise
Commentary: Three strategies to benefit from higher rates
By Michael Larson, Money & Markets
Last Update: 11:56 AM ET Jun 13, 2007
JUPITER,
Fla. (M&M)
— Don’t look now — but a sleeping market giant is waking up and wreaking
havoc. I’m talking about the Treasury bond market.
After going nowhere for months, Treasury prices have started falling sharply.
The long bond had its worst day in 26 months last week, then plunged even further
Tuesday. Since interest rates move in the opposite direction of prices, they’ve
been shooting higher. The benchmark 10-year Treasury Note now yields around
5.25%, up sharply from a low of 4.43% in December and the highest in five years.
See the full article here:
http://www.marketwatch.com/news/story/commentary-three-strategies-benefit-higher/story.aspx?guid=%7B66F7C75C%2D6075%2D47DD%2D9FFB%2DD5BE4C01D4AC%7D&dist=
