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To: Leaning Right

So buy a treasury (or corporate) bond instead before the rate cut. A cut in interest rates means an increase in bond price, so you’d make a profit on the price increase of your bond:


2 posted on 03/05/2020 11:17:19 AM PST by stremba
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To: stremba

> So buy a treasury (or corporate) bond instead before the rate cut. <

The big question is whether or not the next rate cut has already been priced into bonds. Knowing that is above my pay grade.


4 posted on 03/05/2020 11:19:39 AM PST by Leaning Right (I have already previewed or do not wish to preview this composition.)
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To: stremba

Treasury bond (10 years maturity) is paying less than 1%.
Just buy it and hold it and watch losing buying power to inflation. /S


12 posted on 03/05/2020 11:39:47 AM PST by entropy12 (You are either for free enterprise or want gov't to interfere with corporate issues.)
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