The abject failure of yesterday’s seven year Treasury bond auction and the crash that ensued has enabled the year-to-date return for my Macro Millionaire trade mentoring program to soar to a new all-time high of 43%. The 30 year bond plunged a staggering six points from the previous day’s high. Yields on ten year government paper have ratcheted up 50 basis points in just a few weeks, from 1.80% to 2.38%.
It’s a good thing that my only position going into the collapse was a major holding in the (TBT), an ETF that profits most from exactly this type of scenario, which rocketed some 10% today. Using the leverage embedded in this popular ETF, some 40% of our capital is devoted to short Treasury bond positions. This move comes on the heels of my October 8 call to cover all shorts in “RISK ON” assets, including stocks, commodities, oil, and foreign currencies, with a major fall rallies imminent.
For those who wish to participate in Macro Millionaire, my highly innovative and successful trade mentoring program, please email John Thomas directly at [email protected] . Those who currently subscribe to just the newsletter and want to upgrade to Macro Millionaire to get my trade alerts can get full credit for the remainder of their subscription. Please put “Macro Millionaire” in the subject line, as we are getting buried in emails. Hurry up, because our software limits the number of subscribers, and we are running out of places.