Sunday, September 22, 2013

Faber on buying govt bonds

I have to confess longer term I am of course negative government bonds, and that I think yields will go up and eventually there will be sovereign defaults. But in the last few days when yields went to 2.9 and 3% for the first time in years I bought treasuries because I have the view that they overshot and they could ease down to 2.5 percent to 2 percent because the economy is lot weaker than people think.