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Flight to Safety Pt. 2. The Knee Jerk Reaction

Since time immemorial, in other words ever since there’s been a US Treasury market, whenever there’s a world crisis, professional investors have always sought the “safety” of US Treasury securities.

I’ve been warning that that’s a really bad idea for the past 18 months. OK, there might be a trade here if the 10 year yield dips below 1.85 in yield. But it would be short lived.

Buying Treasuries now is still a really, really bad idea.

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