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Posts by "cumbucotrader"

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CumbucoTrader
(Fortaleza, Brazil)
   
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CumbucoTrader
Fortaleza, Brazil
Posts: 2
14 years ago
Apr 2, 2010 2:48
In Thread: Commodity FX (CAD AUD NZD NOK)
Ashraf, I'm interested to know what you think about CAD here. I'm particularly drawn to short AUDCAD below .9250. Also I think EUR and GBP have not bottomed vs CAD, and am thinking about starting short positions EURCAD and GBPCAD in this area. Mainly I'm wondering whether there are specific reasons to avoid. Many thanks.
CumbucoTrader
Fortaleza, Brazil
Posts: 2
14 years ago
Mar 29, 2010 16:40
In Thread: Global Yield Curves
interesting post on Treasury yields and the slowing demand for Treasuries.
http://www.econbrowser.com/archives/2010/03/interest_rates.html

"Yields are now near the highest levels we've seen since the Lehman failure in September 2008, and if they continue to move up at their recent pace I wouldn't want to dismiss it as an irrelevant development."

Some great insights in the comments section as well, including speculation regarding rising yields along with rising equities.

"What equity investors will not like is a "100yr flood" in the yield curve steepness. That is, if rates rise quickly while ZIRP is still in effect -- creating a 300bp+ 2/10yr spread -- then the market will be "surprised" by a negative development. Rate-sensitive sectors of the economy may be so negatively affected as to jeopardize the overall recovery. This is a recipe for a steep equity market correction."

Ashraf, I'm interested in any comments you might have...
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