12 Apr

ETF Market Report April 2013: The Bond Bubble

As interest rates have declined over the last several years to historic lows, financial speculation has grown concerning the existence and eventual puncturing of a “bond price bubble”.  The April ETF Market Report analyzes both mid and long term US Treasuries, US Corporate Bonds, and provides an update on last month’s Mortgage Backed Security market, all in an effort to not only determine when the so-called bubble will burst, but whether it actually exists.

In the eight minute video below Cary Artac  illustrates key support in the above markets, all of which find popular, high-volume counterparts in the growing universe of exchange traded funds.  In the video we provide the downside trigger-points for possible bond market price-collapse into later year. While they have yet to occur, each market is nevertheless trading very close to key support – above which each bond fund remains bullish into later year, and below which an institutional migration away from fixed income and into larger equity holdings would be expected through the balance of 2013.

     Have a “look see”, and if you’re interested in viewing the current, nine-page print edition of our monthly ETF Market Report (April 2013), just fill out our free trial form at right and we’ll be happy to provide the April letter at no cost or obligation. Thanks for visiting!

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