Anybody consider PIMCO has do to with tanking market?

[FAB1]

In case you didnt know.

http://www.americanthinker.com/blog/2011/03/worlds_largest_bond_fund_manag.html

 

[RealMoneyIssues]

yuck... don't know if the market is reacting to this news, but if it was, I would assume it would be headlines...

Not the first major investor to bail on our market...

 

[Christopher]

...gotta give it to PIMCO, though: at least they have the guts to suck it up and call a spade a spade in this FED/TREASURY-induced psycho environment. I'm just sayin'...

 

[Birchtree]

As rates rise they would give up gains on capital gains as the price of the bonds fall. Come back at lower prices and get back in with a higher paying interest rate - makes sense. But I never go near bonds because they operate on negative psychology.

 

[burrocrat]

But I never go near bonds because they operate on negative psychology.

agree, i don't like the F fund myself. it's like playing the don't pass at a craps table, you might make a little money, but you won't make any friends.

too pessimistic a strategy if you ask me. if one is feeling that bad about the future then there are other investments that might pay off better, namely food, copper, and lead.

 

[Boghie]

FAB1,

The 'F Fund' - the closest thing we have to Gross' fund - kinda boomed today.

Personally, I would not bet against the man. And, I haven't. Watch that space.

Question: What happens when folks stop buying our bonds? Even on the margins. Yup, higher interest rates. Here come the Bond Vigilantes!!!

 

[crws]

agree, i don't like the F fund myself. it's like playing the don't pass at a craps table, you might make a little money, but you won't make any friends.

too pessimistic a strategy if you ask me. if one is feeling that bad about the future then there are other investments that might pay off better, namely food, copper, and lead.

I'm considering it's a shot across the bow to Bernanke for NO QE3.

Look at the grin on his face at the end of this clip:

http://www.pbs.org/nbr/site/onair/transcripts/pimco_dumps_government_bonds_110309/