One
of the strategies suggested in the financial media is the “yield
curve.” This has to do with the difference in yields of the
different maturities of U.S. Treasury bills, notes and bonds.
There
is usually a normal difference in return, depending on years to
maturity of the security. But this can change, depending on economic
conditions and influences, including fiscal activity of the Treasury
and monetary action by the Federal Reserve,
But
playing yield differences is a timing, short-term exercise which is
tough enough for pros to succeed at. It’s best that average
investors forget about this strategy.
(See the Earl J. Weinreb NewsHole® comments.)
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