Hang on to your asses folks….
3% appears to be a lock, and frankly I think 3.4% is likely as that’s the -61.8% target.
This would normally not be a “big deal” except that a huge part of the premise behind the market’s rise has been “ridiculously cheap” money (really credit) source games.
I have noted that there’s a secular change occurring in rates, and I’m not really inclined to repeat myself in detail here today. But this much I will say — the evidence continues to mount that this change continues apace and as it does all of the talking heads who have put forward a premise that the last 30 year trend will continue despite the impossibility of it happening are setting you up to be offsides as a major shift in the direction of markets occurs.
You’ve had plenty of warning — if you get caught with your pants down this time you deserve it.