Down goes the Dow

Thanks for your reply. I appreciate reading your insights. You are one of the few voices of sanity on this thread.

agip wrote:

Still no sign of a slowdown - leading indicators were strong today:

Some would try to lead you to believe otherwise!

Good idea, I would rearranged my deck chairs but Jim Cramer told me everything is OK.

Igy, why do you keep writing "would rearranged". Are your English language skills as poor as your math skills?

Gary U. S. Bonds wrote:

Thanks for your reply. I appreciate reading your insights. You are one of the few voices of sanity on this thread.

Vanguard NAV Drops Past 52 Weeks:

BLV -3.57%

BIV -2.87%

BSV -1.14%

Ghost of Igloi wrote:

Gary U. S. Bonds wrote:

Thanks for your reply. I appreciate reading your insights. You are one of the few voices of sanity on this thread.

Vanguard NAV Drops Past 52 Weeks:

BLV -3.57%

BIV -2.87%

BSV -1.14%

Igy tell us why you quote NAV and not total return.

agip,

I quote NAV as a reflection of interest rate sensitivity. I have no concrete view on interest rates as I have mentioned, but clearly a bet on long term bonds is that interest rates will not rise dramatically over the coming years. Here is the Average Effective Duration (AED) and Average Effective Maturity (AEM) for each fund. It is a historically correct that duration and interest rate movements are linked.

BLV

AED 14.92 years

AEM 24.0 years

BIV

AED 6.50 years

AEM 7.20 years

BSV

AED 2.76 years

AEM 2.90 years

Igy

Ghost of Igloi wrote:

agip,

I quote NAV as a reflection of interest rate sensitivity. I have no concrete view on interest rates as I have mentioned, but clearly a bet on long term bonds is that interest rates will not rise dramatically over the coming years. Here is the Average Effective Duration (AED) and Average Effective Maturity (AEM) for each fund. It is a historically correct that duration and interest rate movements are linked.

BLV

AED 14.92 years

AEM 24.0 years

BIV

AED 6.50 years

AEM 7.20 years

BSV

AED 2.76 years

AEM 2.90 years

Igy

well ok

yes longer term bonds have more interest rate sensitivty

but they pay a higher coupon to make up for that

So while you are right to talk about interest rate sensitivity, that is only half the picture, and obviously misleading, since long term bonds have made solid money even as their NAV has probably fallen.

Trews wrote:

Igy, why do you keep writing "would rearranged". Are your English language skills as poor as your math skills?

Rather than grade my math and English skills, I suggest you watch for an opportunity to dollar cost average into your losing SNAP position. There is more money to lose, and this is your lucky day (St. Patrick's Day).

I don't own SNAP. Just because your clients are Muppets is no reason to assume everyone is.

Oh such an original Troll response.

Insults instead of an intelligent counter argument. You are the troll, Igy.

Detector dude that is funny since you never say anything intelligent, and on insults that is all you give.

Maybe.

Walks like a Detector, talks like a Detector, makes up handles like a Detector.

Hummm, might be a Detector.

I am Igy. I am a hypocrite.

That wasn't me.

Igy

I am Detector. I can be best described as a jerk. Of course there are other descriptive adjective such as slanderer.

Hey, Igy, you continue to accuse DD of slander, but never seem to be able to provide any proof. How about putting up, or shutting up.