Gavekal Capital: 30-Year Treasuries Are Having the Largest 3-day Drop In Yields Since April 2013

Thursday, May 15, 2014

30-Year Treasuries Are Having the Largest 3-day Drop In Yields Since April 2013

Despite (or because of?) the taper and some better economic numbers coming out of the US today, treasury bond yields are down for the 3rd day in a row. If the 30-year closes at 3.33% today (the current yield), the 3-day percent change in yield will be the most negative in about 13 months. Needless to say, the bond and stock markets are telling two different stories about growth and inflation prospects.

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Gavekal Capital is a US registered investment advisory firm that manages the Gavekal Knowledge Leaders Strategy. Knowledge Leaders are a group of the world’s leading innovators with deep reservoirs of intangible capital. These companies often possess competitive advantages such as strong brand, proprietary knowledge or a unique distribution mechanism. Knowledge Leaders are largely service-based and advanced manufacturing businesses, often operating globally. Gavekal Capital seeks to identify the world’s leading knowledge companies through a proprietary process that analyzes corporate knowledge investments.
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