In Real-Time Alerts today, Hedgeye CEO Keith McCullough explained why investors should be selling long exposure to Pimco 25+ Year Zero Coupon US Treasury ETF (ZROZ):
"Yep, with your #GrowthSlowing investment exposures having a great absolute and relative day, it's time to book some more gains and raise cash.
On Bond Yields, this is what I wrote to our Institutional Subscribers this morning – around the world (Swiss 10yr yield hitting new lows this am at -0.40%), long-term yields have had #TheCycle right from a GDP #GrowthSlowing perspective – question now is, with the Fed “probably” raising rates in June/July, what do we do with our league leading positions in Long-Term Bonds, Munis, Utes, etc? I say it’s time to book some gains and enjoy the summer – we can always buy them back.
No one ever went broke booking gains,
KM"
