Luettis

Big spread between 5 y to 30 y treasuries

CBOE:FVX   None
Watch this immense gap between the 5 y treasuries and the thirty years bonds. It will close sooner or later and I don´t expect the 5-y to fall or not far enough to close it.
We´ll see probably a fast rise of yields in the 30- y bonds and this will cause much losses to the investors who are not aware of this.

Sure, the indicators are signalling a correction in the near time. But with the FED prognosting more little steps of rising interest rates, a shorting of the QE and with positive signals coming from economy and labour market, I expect the yields going up in the long run.


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