Given the global bonds have had a stellar few weeks with yields tumbling, I wonder if one had a strong feeling that the market has been overly optimistic about how quickly Central bank rates will fall, is there an easy speculative way to trade this hunch? I can't see short-selling bonds as a reasonable option for a private investor. Any suggestions please?
Profiting from Interest rate movements
- Thread starter Frivolous
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Brendan Burgess
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You could probably do a spread bet?
Brendan
Brendan
True but my experience with spread betting is that the buy/sell spreads are very wide
An update. I opened a spread betting account with IG. I was wrong when I previously said that the spreads were very wide - in fact they appear very reasonable. Currently the FTSE 100 is trading at 7701.8 - 7705.8. I'm looking at shorting government bonds to profit from the markets overly optimistic view about the timing of interest rate cuts - here's hoping. Thanks for the prompt above Brendan.