U.S. 30 year bonds yields are stretched

I think U.S. 30 year government bond yields ease back to somewhere between 3.16% to 3.36%.

What time frame?

Perhaps around July – December 2025…

but that matters less.

U.S. 30’s made an appearance in the overbought section of this week’s Macro Extremes.

Macro Extremes (week ending August 4, 2023)

They (the 30’s) don’t really have much business trading much more higher than where they are now. While the 200 week moving average should roll higher to honour the parabolic price move seen over the past 2 years.

…the study below tells me to buy bonds whilst waiting a little before locking in your borrowing rates.

August 7, 2023

by Rob Zdravevski

Karri Asset Advisors

rob@karriasset.com.au