Short Sell US Treasuries

The market is in recovery mode, there is no denying that. Recent economic data such as jobless claims and pending home sales all point to a recovery in the economy. Since March, the Dow Jones has jumped from 6,600 to its current value of 8,700. As equities regain their attraction, investors are bound to avoid fixed income investments and put money back into the stock market. Consider investing in an ETF that shorts U.S Treasuries. With Treasury yields so low, there is no reason for people to invest in treasury bills, notes, or bonds and now since the market is showing signs of recovery, people will take money out of the debt market and invest it back into equities. The ETF is TBT and it’s an Ultrashort ETF for added volatility as treasury yields usually do not fluctuate too much. The threat of inflation and the falling dollar will also lead to lower bond prices.