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The Bubble That Never Came (And Other Misconceptions About Treasury Bonds)
FYI: . Contrary to common wisdom, we show that low yields do not imply that US Treasury securities are expensive. . After accounting for macroeconomic trends, Treasury bonds are only moderately overvalued. . A proper valuation of the bond market requires going beyond simply blaming the Fed’s unprecedented policies of monetary easing. . Given their recent negative correlation with stock returns, Treasury bonds may not be as unattractive as one might think. Regards, Ted https://www.researchaffiliates.com/en_us/publications/articles/642-the-bubble-that-never-came-and-other-misconceptions-about-treasury-bonds.html
