Day 8? IdkProbably a local top till after fomc
>>60929620What's the duration?
ZN1 is leveragedjust saying
>>60929652zroz is 25+
>>60929652Around 25-27yrs
>>60929620Explain to me what and how
>>60929620That money definitely wasn't earned. You know how I know? I know.
>>60929620Local top? So you will lose money after the fomc?
OP is a giant pussy and won’t do TMF calls
>>60929847Long duration us bond etfs>>60929969Likely, temporarily >>60930002True, but that’s why I have money and you don’t
>>60929847its the first lesson in high school economics anon, interest rates go down, bond prices go up. interest rates haven't declined but there is a lot of speculation that they will so bond prices have gone up quite a bit recently
>>60930055Second lesson in high school economics that you probably missed must be that it's the bond yield's rate that needs to go down and not the Fed's FFR, and since US10/20/30Y have already gone down a bit following the speculation about the 25/50bps cut in the coming FOMC, that explains OP's gains
>>60929847holy fuck lmao>>60929969how? Powell is cutting...>>60930042>Likely, temporarilyno, not likely... cutting rates makes bond prices go up... lol
>>60931335hardly speculation at this pointthe real speculation/ gambling is over 25 or 5050 has been gaining traction and Powell could try to woo Trump with hard cuts blamed on the job market, so he can keep his job
>>60931335Bond markets will generally price in the expectations of a rate cut, but once a FFR rate cut is confirmed they will generally drop again to match. The tail wagging the dog in the case of the bond market dictating rate cuts as you seem to be implying here is a hot button topic for the U.S. government that is well identified by the “Bond vigilantes” era.
>>60932857>>60932752>>60931335the real speculation is how much do leveraged bond positions pump relative to individual stocks/ ETFs we know it will go up, but if you miss out on lets say a very liquid ETF doing way better, you essentially "lost money"
