Others point out that the current expansion is the weakest in the post-World War II era, and the economy is still struggling to grow fast enough to generate enough inflation to trigger a sell-off in fixed-income assets. Specifically, wage growth remains tepid, diminishing the outlook for wage inflation.
Moreover, the last time 10-year Treasuries were this cheap relative to short-term debt in September, U.S. government debt rallied over the following three months.
iShares 20+ Year Treasury Bond ETF
Tom Lydon’s clients own shares of TLT.