Bill Gross Goes Against His Instincts, Turns Bearish On Bond Markets

Bill Gross Goes Against His Instincts, Turns Bearish On Bond Markets
Image source:

Bill Gross Goes Against His Instincts, Turns Bearish On Bond Markets by Nathan McDonald, Sprott Money

Play Quizzes 4

Carl Icahn and George Soros are two incredibly influential and well respected investors who have recently turned against the markets and taken on large short positions. These investors, as I have recently written about, are forecasting doom and gloom in our future and envisioning a time of collapsing prices in the markets. They should not be ignored, nor should they be dismissed.

Many of us in the precious metals community also see the writing on the wall. We see the disease and rot that has set within the market’s heart. We see the out of control and reckless spending by Central Banksters and shudder with fear, for we also envision a collapse of epic proportions. No longer are we alone, nor can we be called “tin foil hat” wearers anymore. Our truths can no longer be denied and they are not going unheard.

How Value Investors Can Win With Tech And “Fallen” Growth Stocks

Valuation Present ValueMany value investors have given up on their strategy over the last 15 years amid concerns that value investing no longer worked. However, some made small adjustments to their strategy but remained value investors to the core. Now all of the value investors who held fast to their investment philosophy are being rewarded as value Read More

More and more daily are waking up to this reality, including, as we indicated, some of the most prominent names in the industry. Most recent to join the ranks is Bill Gross, arguably the most well-known investor in the bond markets.

Bill Gross has recently come out and said that the “system itself is at risk” and that a “day of reckoning is coming”. Ominous words indeed, but sadly, the truth.

Putting his money where his mouth is, Bill Gross is defying all of his instincts as a bond investor and is revamping his $1.3 billion “Janus Global Unconstrained” Bond Fund. He is moving his fund into a position to sell insurance and credit risk.

These actions are brought on by his deep fear that the market is going to break down in the future. He believes Central Banker stimulus has artificially propped up the markets and this illusion we live in is no longer going to last. The proof of this is in the fact that stimulus by Central Bankers is having less and less effect, even as more and more money is printed.

He also fears that the US government is heading down the path of Japan and envisions a day when the government buys up all the debt, eliminating and forgiving it. This of course would be wildly inflationary and be an admittance that the end is nigh on their own part, likely ending in an epic collapse of the Western monetary system.

The writing is on the wall and as each day passes, there is more and more smart money coming to this conclusion. At some point a tipping point is going to be reached and the markets are going to break.

Those with their wits about them are simply getting ahead of the curve and acting before it’s too late. Are you?

Bill Gross

Updated on

Established in February 2008, Sprott Money Ltd. is a leading precious metals wholesale, institutional and retail dealer selling gold, silver and platinum bars, coins and wafers online and over the phone. Our storage program gives clients the ability to store their precious metals in multiple storage facilities located in Canada, the United States and internationally. We also recently launched IRA precious metals accounts for our U.S. clients. Our company strives to facilitate ownership of precious metals no matter how big or small your portfolio. Since our inception, we have prided ourselves on superior customer service, providing our clients with only the highest quality bullion products, in addition to delivering them discreetly and on time. Sprott Money Ltd. is a privately held company owned and operated by Eric Sprott
Previous article iPhone 7 May Largely Be Manufactured By Robots [REPORT]
Next article The Best Monthly Dividend Stocks

No posts to display