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Non-Tech : Kirk's Market Thoughts
SPY 266.61-0.8%5:05 PM EDTNews

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To: robert b furman who wrote (5407)12/31/2017 8:29:28 PM
From: Kirk ©  Read Replies (2) of 5696
 
Thanks for your comments. I've said for many years in the monthly summary of interest rates.... that the Fed was taxing savers to keep the government running... basically stealing from the clueless. I picked a random issue from a few years back to find this while the were doing QE



This has been a very, very low cost hedge... I've gotten over 3% return for half the hedge in iBonds and I have the other half in CDs (or offset with TIPs in IRAs) so the loan still has 10 yrs or so and if we get a few more points of inflation, I should be making money on it. Even with 2% inflation, it is very low cost after tax and only really had cost when inflation was very low (some of my iBonds have 3.0% base rates so they pay 3.0% even with zero inflation!)


My TIPs are up about 25% on average so that probably pays for the 3.75% loan not covered by the iBonds.

Looking at Gold and commodity and energy TA, it might be time to consider those again.... I think energy stocks usually do well after tech stocks start to slow.

Time will tell.
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