FYI: The old Wall Street saying “don’t fight the Fed” may have lost its relevance recently as financial markets have taken their gloves off and are now in a bare-knuckle brawl with the U.S. Federal Reserve.
Stringer Asset Management think that the global financial markets have expressed their distaste with the Fed’s plan since the Fed started making clear their intention to raise interest rates.
For example, consider the 10-year U.S. Treasury bond. On Feb. 23, 2015, the yield on the benchmark Treasury was 2.06%. As of Feb. 23 of this year, the interest rate has fallen to 1.74%. So much for the once popular strategy of protecting portfolios from rising long-term interest rates in preparation for a Fed rate raise.
Regards,
Ted
http://www.etftrends.com/2016/03/financial-markets-reject-the-feds-bid-to-raise-rates/
