Here's a statement of the obvious: The opinions expressed here are those of the participants, not those of the Mutual Fund Observer. We cannot vouch for the accuracy or appropriateness of any of it, though we do encourage civility and good humor.
For now, yields on long bonds are rising quickly. 20 years treasury is being auction today with 5.0 % yield, an all time high. If the sale does not go well, it will be messy tomorrow. Bond traders are not so happy with the increased deficit from this tax cut bill. If bond market goes, so does the stock market. So we are watching closely.
Edits: From CNBC at market close:
The bill could increase the U.S. government's debt by trillions and raise the deficit at a time when fears of a flare-up in inflation due to Trump tariffs are already weighing on bond prices and boosting yields. The 30-year Treasury bond yield jumped again Wednesday to hit 5.09%, touching the highest level going back to October 2023. The benchmark 10-year Treasury note yield traded at 4.59%.
I completely realize that this is very selfish, but I guess that I have the present administration to thank for the fact that interest on our SUTXX MMKT over at Schwab is headed up again.
Raised portfolio cash from 10% to 15% with withdrawals from more aggressive holdings across the board. That somewhat understates actual short-term fixed income exposure because some of my ”investments” hold or attempt to replicate fixed income as well.
Another Marvell line: “But at my back I always hear Time’s winged chariot … “
Took a bunch of cash and bought more of FBP. A good opportunity to reduce cost basis on a planned long-term Hold. End of month dividends on some of my stuff, tonight.
@Crash, you seem to have a thing for banks. Any particular reason?
You're right. I left BHB too late, but still got away with 14% profit. I will consider banks or other stocks with at least a 3% dividend. That's an arbitrary rule of mine. Many banks offer divvies, and so I regularly go looking in that direction. I'm still set up for some growth, but income is now a bigger piece of the picture. I may have got really lucky with BLX. I'm not deliberately looking for LatAm outfits. I did my homework and came up with BLX and FBP. I have given up on airline CPA. "The one that got away." I have decided not to pay the current (rising) price for that puppy. If it falls to earth again, I'll wanna know why, but if my homework shows me fundamentals are good, I'd dip a toe in that water.
I'd love to find a way to hop onto the new Canadian defense-military emphasis. Very few such companies up there, and no dividends.
Another bank, with an outsized dividend, in rural, northern Vermont: CMTV. Very thinly traded. Ridiculously low beta. OTC market. Been in business a long time, stable. Keeping an eye on THAT one, too.
Comments
For starters I'm looking at E.ON and Engie in Europe.
Edits: From CNBC at market close:
For sure.
Another Marvell line: “But at my back I always hear Time’s winged chariot … “
I left BHB too late, but still got away with 14% profit.
I will consider banks or other stocks with at least a 3% dividend. That's an arbitrary rule of mine. Many banks offer divvies, and so I regularly go looking in that direction. I'm still set up for some growth, but income is now a bigger piece of the picture. I may have got really lucky with BLX.
I'm not deliberately looking for LatAm outfits. I did my homework and came up with BLX and FBP. I have given up on airline CPA. "The one that got away." I have decided not to pay the current (rising) price for that puppy. If it falls to earth again, I'll wanna know why, but if my homework shows me fundamentals are good, I'd dip a toe in that water.
I'd love to find a way to hop onto the new Canadian defense-military emphasis. Very few such companies up there, and no dividends.
Another bank, with an outsized dividend, in rural, northern Vermont: CMTV. Very thinly traded. Ridiculously low beta. OTC market. Been in business a long time, stable. Keeping an eye on THAT one, too.