One trade I’m looking forward to is shorting long-term U.S. government bonds. I am short them at the moment, although I don’t think this is my final short. I think that’s going to be one of the great secular plays of the next two or three decades when the final top comes.
I’m not convinced we’re at the final top, even though I am short. I think there’s going to be another opportunity either later this year or next, but U.S. government bonds are going to be one of the great shorts of our time.
The idea of lending money to the United States government in U.S. dollars for 30 years at 3 or 4 or 5 or 6 percent is mind-boggling to me. I cannot conceive of something so ludicrous.
Related Tickers: ProShares UltraShort 20+ Year Trea (ETF) (NYSE:TBT), iShares Barclays 20+ Yr Treas.Bond (ETF) (NYSE:TLT)
Jim Rogers is an author, financial commentator and successful international investor. He has been frequently featured in Time, The New York Times, Barron’s, Forbes, Fortune, The Wall Street Journal, The Financial Times and is a regular guest on Bloomberg and CNBC.
