HB/Matthew, the only bonds that I would touch would be U.S. Treasuries. I’m in charge of investing our company’s cash, and that’s where I park it.
All other bonds — including those from stalwarts such as P&G and utilities — are going to get hit by the return of risk premiums to historical norms (i.e., an increase in interest rates).
The return to historical norms for risk premiums may happen next week, in a few months, or next year; I don’t know when folks will wake up. But, I do know that they will wake up.
