On Nov 28, 2010, at 5:37 PM, michael perelman wrote:
> But bondholders are likely to try to get out of the bonds ASAP to lock
> in those capital gains. The proceeds can be used for speculation.
Who do you think dominates day-to-day bond moves? Short-term traders.
If they all move to liquidate their holdings to realize their capital gains, prices will fall, and gains will disappear.
You make it sound like it's easy to trade bonds.
Doug