General Discussion

lastlib

(28,627 posts)

57. no sweat, folks--PIMCO's buying 'em.

Thu Oct 10, 2013, 10:27 AM

Oct 2013

http://blogs.marketwatch.com/thetell/2013/10/10/pimcos-bill-gross-to-fidelity-well-buy-those-bonds/

Don't read too much into Fidelity's move--there are technical accounting reasons, peculiar to Fidelity's money-market funds, for doing it. Yes, it's based on a perceived high likelihood of gov't default, but there are other factors in play for them.

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Fidelity has sold all of its short term T-Bills [View all] Gothmog Oct 2013 OP

Brinkmanship... Junkdrawer Oct 2013 #1

That is anyone's guess. roamer65 Oct 2013 #10

Rachael mentioned this on her show. nt BumRushDaShow Oct 2013 #2

I heard about this on her show and then went and found the article Gothmog Oct 2013 #53

yikes flamingdem Oct 2013 #3

Rachael said they were the largest holder of mutual funds. BumRushDaShow Oct 2013 #7

Oh! Well that's better but.. flamingdem Oct 2013 #15

The cost of borrowing is going up Gothmog Oct 2013 #21

They don't hold them... A HERETIC I AM Oct 2013 #33

Interest on the debt is safe. But return of principal is a legitimate concern. Loudly Oct 2013 #4

Well, there you have it Brother Buzz Oct 2013 #12

Can you explain to the financially challenged flamingdem Oct 2013 #17

The dollar amount of your investment in Treasury notes (bills) is the principal. Loudly Oct 2013 #20

The friggin' principal is a mirage, there is little to no worth underlying it, jtuck004 Oct 2013 #28

Nonsense. A HERETIC I AM Oct 2013 #37

Fine. Show me the underlying worth. In 1960, milions of people working, producing, jtuck004 Oct 2013 #42

There isn't a single thing you are complaining about... Loudly Oct 2013 #45

That's too shortsighted. It would be like supporting an insurgency by giving them bullets jtuck004 Oct 2013 #66

True. JDPriestly Oct 2013 #70

Don't talk shit about principal. Loudly Oct 2013 #38

Of course it is. And do you think the Mi$$ RobMe crowd gives a flying rat's ass about them? jtuck004 Oct 2013 #44

Give me that $1,500 in hindsight. Loudly Oct 2013 #47

Why would one want to willingly participate and profit from the destruction of their jtuck004 Oct 2013 #64

We are a society. We all live off the same economy, the same practice of exchanging value for work JDPriestly Oct 2013 #69

No - we live with others. Only some of us live off of others. jtuck004 Oct 2013 #73

Why thank you Loudly flamingdem Oct 2013 #34

That is an incorrect statement. For any treasury security shorter than 2 years... A HERETIC I AM Oct 2013 #35

You are describing only one variety of Treasury instrument. Loudly Oct 2013 #40

You clearly are not very well versed on this subject. A HERETIC I AM Oct 2013 #46

Again, I think you are slicing and dicing a portion of the debt. Loudly Oct 2013 #48

Again, don't profess to school me on this subject. A HERETIC I AM Oct 2013 #49

You are trying to make the case that zero coupons dominate the landscape. Loudly Oct 2013 #50

Oh, for fucks sake. A HERETIC I AM Oct 2013 #52

My retirement accounts are with Fidelity Yo_Mama_Been_Loggin Oct 2013 #5

Have you sold? n/t A HERETIC I AM Oct 2013 #13

So is mine, but will be defined benefit. Did you have it in a 401K? freshwest Oct 2013 #22

I have both a 401K and a managed IRA Yo_Mama_Been_Loggin Oct 2013 #24

Okay, I've never had either of those. Just the defined benefit. It kicks in if everyhing doesn't go freshwest Oct 2013 #26

You made a bundle this year if you lost $15,000 since this started. dkf Oct 2013 #29

Yes Yo_Mama_Been_Loggin Oct 2013 #30

Well it wasn't about to go up up up forever. dkf Oct 2013 #31

October coincides with a natural downturn built into the market cycle. Loudly Oct 2013 #41

I love nightmare scenarios in the morning nadinbrzezinski Oct 2013 #6

I'd bet the Federal Reserve bought most of them. roamer65 Oct 2013 #8

I expect that too, nadinbrzezinski Oct 2013 #11

Up or down in direction? flamingdem Oct 2013 #19

Aaaand we're a little bit closer to fucked. BluegrassStateBlues Oct 2013 #9

They're all doing it nt TomClash Oct 2013 #14

Wrench your eyes off the Orange One + the rest of the clowns and watch these stories riderinthestorm Oct 2013 #16

I hear the sound of Ben Bernanke's helicopter, I do believe. roamer65 Oct 2013 #18

Someone will benefit financially from this crisis; hope kiranon Oct 2013 #23

Koch Bros are Shorting Stocks. They tank the country to make a killing Katashi_itto Oct 2013 #32

But the Kocks said they're not doing this... blkmusclmachine Oct 2013 #36

.... Katashi_itto Oct 2013 #39

With his Black swan fund Eric Cantor bet against the US in the last debt ceiling fight stuffmatters Oct 2013 #71

OP title is misleading...that's not what the article says antigop Oct 2013 #25

The title of this thread is the same as the article quoted. Gothmog Oct 2013 #54

no, the title of the referenced article is: Fidelity sells short-term T-bills antigop Oct 2013 #56

Everybody needs to be aware of the Republicans talking openly Warpy Oct 2013 #27

They sold then because yields went up Pretzel_Warrior Oct 2013 #43

and the first canary in the coal mine DonCoquixote Oct 2013 #51

I maintain, if the halfwit repukes don't give in, there will be a massive sell off late tomorrow. Javaman Oct 2013 #55

no sweat, folks--PIMCO's buying 'em. lastlib Oct 2013 #57

Exactly. I was coming in to post this. The company is highly respected and they do not seem too seabeyond Oct 2013 #59

interesting. Pre-edit title of OP was correct. Why did you edit it to inaccurate? magical thyme Oct 2013 #58

I called attention to the misleading title in post #25 antigop Oct 2013 #60

my point is that the OP initially used an accurate title magical thyme Oct 2013 #62

Yes, Virginia, Wall Street is shorting America. malthaussen Oct 2013 #61

I am 69 and have all my IRA in Fidelity Treasuries Only MM pangaia Oct 2013 #63

No. A HERETIC I AM Oct 2013 #65

Whew. Thanks pangaia Oct 2013 #67

Think of it. Only the Republican members of Congress know how and when this artificial crisis JDPriestly Oct 2013 #68

Cantor got away with it last time stuffmatters Oct 2013 #72

I've been saying this for days. Ilsa Oct 2013 #74