The play for bonds was to be long ZT (two year)in anticipation of a steepening curve. Keep an eye on it, as it is the barometer now for fed action. A perception that the feds are almost done gives a bid to ZT. If the feds are going to hike more than thought, ZT will sell and the curve could invert again. This is what the pros are watching right now.
This entry was posted
on Monday, January 09, 2006 at 7:13 AM.
