Re: What do you think, F fund's future?
Originally Posted by
burrocrat
Is today's F chart for real? What happened between 1230 and 1430 that made it spike like that?
And why did it have negligible effect on the equity markets?
Ben's last spanke?
omg you mean the chamber is empty and now we got to resort to pistol whipping folks?
Burro and All, Just my 2 cents (its my best understanding - and by no means am I qualified to be the "guru" here! - Need thoses folks to please jump-in, and post here!).
Anyway, by my understanding this day doesn't make sense, and seems something seems very wrong. It may just be many folks thinking that its better to be in Bonds today - maybe just weekend jitters, Or may be be just the beginning of what?? In any case, the AGG/F-Fund did NOT do the opposite of equities, it went up with the equities - not what is supposed/expected for it to do!
Originally Posted by
SkyPilot
As interest rates begin to climb, and when the Fed starts to increase as well, will this not affect the F fund in a negative way? It seems that as interest rates go up, the F fund suffers...
Sky,
By my understanding, in your scenario, it should have a positive effect on the price we should get. (This is a major reason I'm wanting real F-Fund "gurus" to weigh-in).
As interest rates begin to climb, whether by market or artificial Fed tightening - my understanding is that the AGG and our F-Fund price should go higher - likewise equities would be "hurt/pullback.
(Remember that as Bond rates go up, yields go down, and visa-versa - "normally", so I'd expect your question to have a positive effect on AGG and our F-Fund. (Did the Fed tighten today behind the scenes?)
"That's as good as money sir, those are I.O.U.'s" - from: Dumb & Dumber
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