Silver Prices & Gold Prices Benefit Enormously From Announcement Of US Treasuries All Being Trashed!

March 11, 2011 - PRLog -- Gold prices and silver prices should benefit considerably from the following news of the dubious values of US Treasuries. Look for huge increases in the prices for silver and gold emerging soon. This makes silver dollar values look like a fantastic investment now. Buy silver now! Buy Gold today!

The planet's largest bond fund has gone ultra bearish on the United States, dumping all of its U.S. government-associated debt holdings. This move by Bill Gross's $236.9 billion PIMCO Total Return fund completed last month comes in the wake of a vicious Treasury market sell-off and just a few days after he questioned who will purchase Treasuries once the Federal Reserve halts its latest round of bond acquisitions in June. CLICK HERE to check out Silver Dollar Values Silver Prices now! http://silver-dollar-values.com has all of the details for an intelligent silver investing choice.

Gross, who additionally helps oversee a $1.1 trillion investment stock portfolio as PIMCO's co-chief investment officer, has repeatedly warned against U.S. deficit spending and its inflationary influence, which undermine the value of government debt as well as push up yields as investors demand more compensation for risk.

Throughout the last five months, concerns over the ballooning U.S. budget gap estimated at $1.645 trillion for 2011, political standstill in Washington over how you can narrow it and inflationary fears have all contributed to a sharp sell-off in Treasuries. The standard 10-year note has observed its yield, which moves opposite to price, rise more than one percentage level since early October to 3.46 percent by Wednesday's close. CLICK HERE to check out Silver Dollar Values Silver Prices now! http://silver-dollar-values.net has all of the details for an intelligent silver investing choice.

Gross expects further carnage. Just last week, he informed Reuters Insider that a 4.0 percent yield for 10-year notes is a "rational expectation" if the Federal Reserve "disappears as the buyer of last resort."

Gross, just like many other investors, has raised red flags over desire for Treasuries when the U.S. central bank ends its controversial quantitative easing plan. This week, he posed the following in his extensively read monthly article: Who will buy Treasuries when the Fed doesn't? The question really is at what yield, and also what are the price repercussions if the adjustments are significant. CLICK HERE to check out Silver Dollar Values Silver Prices now! http://silver-dollar-values.com has all of the details for an intelligent silver investing choice.

Presently, bond prices have taken a huge beating on that possibility and as the U.S. economy recovery strengthens. The 10-year Treasury yield hit a 9-1/2 month high of 3.77 percent on February 9, rising 40 basis points in the brief period from the conclusion of January.

Gross sold all of his U.S. government-related securities, such as U.S. Treasuries and agency debt, from its main Total Return fund, as of the end of February 28, according to the firm's website on Wednesday.

Which is down from when the portfolio held 12 percent federal government-related debt at the close of January. The last time PIMCO was this negative on U.S. government-related financial debt was in January 2009. Gross's latest move reflects his protective positions against higher rates as well as higher inflation.

Length of time is a bond's level of sensitivity to interest rate variations, and going short duration is an investment strategy when rates are likely to rise. The Total Return fund has an excellent track record in timing the market. It performed better than 93 percent of its intermediate investment-grade peers over the last three years, posting annualized returns of 8.67 percent.

Perhaps now is the time for you also to think about your investment portfolio and buy gold and buy silver as a safe haven in these times of uncertainty in the political and financial areas. Silver dollar coins render a great investment that you can individually hold and keep safe.

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