Death to Treasuries

Japan just announced they will lend companies up to 4 trillion yen within the month. However. to counter such QE talk, Bill Gross confirmed rumors that the U.S. might lose its AAA status. I must say, these credit agencies are a fucking joke. Why do we even keep them around?

Of course the U.S. is not AAA rated. I really don’t understand why the fuckers at [[MCO]] have so much power.

Nonetheless, as a result of Treasuries getting routed, certain sectors (commodities) are rebounding. First and foremost, the [[TBT]] and [[TMV]] players are killing it today. I was long TBT for awhile, but somehow got caught up in the ol’ deflation story. Lo and behold, it appears the level of fuckery, via national debt, may come home to roost sooner than I originally thought.

So, yields are going up and the dollar is getting machined gunned. I think the sell off is too swift and would not chase treasury bear funds, at these levels. Instead, I would take positions in gold, via [[DGP]] or gold stocks, like [[AUY]], [[EGO]] and [[GG]].

As for stocks:

For the moment, they are in the “no buy zone,” unless of course your goal is to accumulate. I would add to my positions, providing the market dipped tomorrow.

My top picks are: IR, GLW, ENTR, FTK and RFMD.