ProShares Trust UltraShort Lehman 20+ Year Treasury (TBT)

The United States experienced a mild deflation in May, according to new data from the Bureau of Economic Analysis. Click to read.

The Fed's Neel Kashkari believes that it's likely that the Fed will cut interest rates once in 2024, possibly in December.

In the pre-pandemic era, bond investments were largely the domain of institutional funds, shielded from the hustle and bustle of the retail-trading world. And who could blame them. Fixed-income portfolio managers and analysts faced the Herculean task of seeking returns in a global environment characterized by rock-bottom or even negative interest rates. Often, they considered themselves fortunate to eke out meager basis points in gains. During this period, pension funds and money-market vehicles were in a frantic search for minimal returns. The boldest investors ventured into uncharted waters, hunting for yields in high-risk emerging markets, all too often subjecting themselves to wild bouts of volatility. By the end of 2020, the yield to maturity on an Austrian government’s 100-year bond had dwindled to a mere 0.4%. Meaning, an investment in this security would have only gotten a nominal 0.4% annual return over the next century. As central banks worldwide unveiled unprecedented stimulus measures to rescue the global economy from the pandemic’s clutches, the market value of negative-yield bonds soared to an astonishing $18.4 trillion by late 2020. Fast-forward to the end of July 2023, this figure had plummeted to a meager $1.3 trillion, as per Bloomberg data, marking a spectacular sell-off that reverberated ...Full story available on Benzinga.com

Rock-bottom interest rates are set to rise as the Fed reduces stimulus. That will have a big effect on stocks, bonds and real estate.