The longer end of the US Treasury curve (20+) looked quite overextended, at least in the short term, in the first hour's trade this morning. How could I resist for at least a day or so trade?
I still do not like the equity market yet, and would view this as a technical support area, until it proves itself otherwise. And that is probably going to have to wait for the US Non Farm Payrolls.
I am not saying Treasuries are a long term short just yet. I would have to see some real appearance of inflation and higher rates before that would be the case, and so far nothing. There is also sound economic theory that allows for lower interest rates here, and for what could be a protracted period of time.
I have reduced all my short term positions, but as always hold all the long term positions, because this is my 'vacation.' Scraping, cleaning, taping, painting, rewiring and installing new outlets and lights. I do not mind this, preferring to do it myself with help from the boy. It is good to teach him how to do these things. And the jalousie porch is not so naturally efficient as to take care of itself.