The economy is still strong in consumer spending and in manufacturing. There is some risk to inflation, so bond yields should still go up. |
We are seeing inflationary pressures in labor costs and energy prices and there is a possibility of the Fed raising rates three more times this year. With that scenario in mind, there's no way we would be investing in Treasuries at this time. |
With the economy doing very well, the risks of the Fed hiking rates are even higher. We have no interest in buying Treasuries. It is not the right time. |
Yields will have to go up for the auctions to do well. They are too low, I don't want to get in at these levels. |