Trump victory means US Treasuries are a cheong

In Uncategorized on 07/11/2016 at 4:06 pm

Even though he’s threatened to default on them. FT’s reasoning

US Treasuries are havens. People buy them even on news that is ostensibly bad for the credit of the US. Treasuries’ prices rose in 2011 after Standard & Poor’s downgraded its credit rating. So victory for a man who says he might deliberately default on Treasury debt might lead people to buy more US government paper.

  1. Same goes for USD & JPY, JGBs even though both have huge liabilities to meet, especially the Japs.
    Or you can go with CHF and PMs.

    For me I prefer biz that will thrive no matter who wins. Defense industry stocks come to mind — still not as expensive as consumer staples or dividend aristocrats.
    Some wall streeters are betting on infrastructure stocks, but my bet is that missiles win over bridges.

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