With the second rate cut of the Federal Reserve landing, many mooers are concerned about the future trend of US bonds.
Xiaocaikun is still drawing conclusions first:I believe that the cost-effectiveness of US bonds is currently the highest, so it is advisable to hold firm!Next, I will elaborate from the following aspects:
1. During the rate cut cycle, US bonds perform well
2. Among various types of assets, US bonds have low risk.
3. Which type of bond asset is more suitable for you?
1. During the rate cut cycle, US bonds perform well
According to historical experience, within 6 months after the Fed rate cut, US bonds and gold performed the best.
In other words,From September 19, 2024, to March 19, 2025, the success rate of buying US bonds reached a high of 100%!
Currently, gold has risen from $2,557 on September 19th to $2,671, briefly breaking through $2,790, with a high increase of 9%.
On the other hand, the bond represented by TLT has dropped from $100 to $92, significantly below historical performance, with a large potential for future growth.
2. Among various types of assets, US bonds have low risk.
Selling off Apple stocks in a clearance manner, is Buffett hinting at the risks in the US stock market?
The latest data shows that Buffett has already reduced his Apple stock holdings by two-thirds this year. At this rate, by the end of 2025, Buffett's Apple stocks will be completely divested!
Not only has Apple been divested, but stocks of many other companies have also been sold off. The increase in holdings of other companies is also not significant.
Historically, Buffett has ample experience in exiting at market tops, especially after multiple reductions in US stocks, where the US stock indexes have all experienced significant declines.
As seen in 1987,...