For several years word on the street was that interest rates would rise and bonds would fall in price. That has not happened and all the “bond Eeyore’s” have been wrong, including me. With interest rates as low as they now are when will we see a turn? According to the FED, interest rates will remain low so long as unemployment remains high. That is the current correlation.
What is the outlook for bonds going forward if we apply a three-year Quantext Portfolio Planner analysis and examine the Delta Factor projections. Keep in mind the Delta Factor projections tend to be early in their call. And by early, it can be as much as six to fifteen months in advance of what is likely to happen. Platinum members will see what a portfolio of bonds looks like and the Delta Factor projections going forward.