That greater risk is why
most bond traders believe now may not be the best time to buy bonds, especially if you're new to it.
Not exact matches
Traders have pulled more than $ 1.8 billion from two junk - focused ETFs just in the past week: the iShares iBoxx $ High Yield Corporate
Bond -LRB-- $ 1.06 billion,
most of any ETF) and the SPDR Barclays High Yield
Bond -LRB--765.4 million, the second
most), while also redeeming $ 577.4 million (the fourth
most) from the iShares iBoxx Investment Grade
Bond ETF, according to FactSet and ETF.com.
When
bond traders at the CBOT wade into the soybean pit because that is where the «action» is (high prices and volume), then I saw the
most anxious buyer set the highest prices.
Bond market
traders, who are the
most likely to put their money where their forecasts are, are currently wagering on a rate cut in the next year rather than a rate hike.
The «
bond traders are smarter than stock
traders» myth is hardly the
most egregious myth at work here though.
For day
traders, the
most convenient way to trade
bonds is through their exchange - traded fund (ETF) equivalents.
DeBiase was
most recently a
trader in the Fixed Income division and was responsible for trading, relative value assessment, and analysis of mortgage - backed securities and corporate
bonds.
When
bond traders at the CBOT wade into the soybean pit because that is where the «action» is (high prices and volume), then I saw the
most anxious buyer set the highest prices.
Most traders have computer trading systems, such as Bloomberg and PC
Bond which allow them to quickly calculate historical and actual spreads between many different
bonds.