Jared Dillan, economist and investor, talks on the subject of why you should not buy bonds now - based on AMarkets.
The reason №1 - the real estate bubble in Canada since last July home prices in Vancouver rose by 32%! At the same time sales have fallen by 19%! Now prices are high.
Reason №2 - games the US Federal Reserve to the market the Fed is sending conflicting signals at times - when will the rate increase. The upcoming elections complicate the task of forecasters. Now the situation is that the markets actually ceased to respond to statements by officials about the expected life of increasing rates. All because the Fed muryzhit players too long. Nobody believes the statements regulator. However, Yellen recently expressed a desire to "normalize" rates. Therefore, the increase in rates could still happen before the end of the year.
Reason №3 - the largest retailers in confusion Walmart bought Jet.com. Jet.com operates unprofitable models.Solution Walmart to buy a company with a dubious strategy for the $ 3 billion spoke about the ideological concerns of America's greatest retailer. It is clear that the networkers need a decent online, making online sales.However, the company could do everything, as they say, "inhaus". And did not, then there is a problem. Jet.com - the worst option, even to get close to the online sales closer.
Reason №4 - EsliTramp blow himself Clinton's tough to beat. The system is hard to beat. Now you can even watch the unwinding of such a phenomenon as "Republicans Clinton." Meg Todd and Christy Todd, honored women Republicans were seen in the praise of the personal qualities of Hillary. About the same ( "Reagan Democrats") could be observed 30 years ago.
Jared Dillan claims - to buy bonds in a turbid medium and poisonous atmosphere would be very imprudent step. No matter who comes to power - or Hillary Donald - they both have launched a massive easing program in 2017.Trump had actually promised to QE by $ 500 billion. All this is a source of threats and unpredictable consequences for the debt market.