It’s really amazing what passes for media/press coverage in our world today. No wonder that people stay confused.
This is a prime example from an article in the Times. (Ooops,.. I see you’ll have to log in for the Times article. I think you can still get the gist of it from the 2 paragraphs.)
With my pick for the quote of the day in bold, at the bottom.
From Brad DeLong
US Debt – Money Managers’ Least Favorite Investment: Ask the people who invest billions for a living to name their favorite picks for 2012 and you’ll get a smorgasbord worthy of a holiday party: Brazilian stocks, U.S. junk bonds, and government debt from Colombia. Ask them what they dislike and they’ll name one of the top-performing investments this year: U.S. government bonds. Investors can rattle off a long list of reasons to avoid Treasurys. They pay next to nothing and are bound to plunge in value whenever interest rates begin climbing from their historically low levels. It seems nobody likes Treasurys, yet everybody keeps buying them anyway.
“Our least favorite asset is Treasurys,” said Christine Hurtsellers, chief investment officer for fixed-income at ING Investment Management during a recent press briefing. “We still have a lot, but it’s hard to make the argument for them.” It’s a tricky problem for bond-fund managers at a time when everyday Americans are trusting them with more of their savings…
Duncan Black observes:
Eschaton: Everybody Hates US Treasuries, Too Many People Are Buying Them; This article is the bond market version of “nobody goes there anymore, it’s too crowded.
Why oh why can’t we have a better press corps?