A week ago we brought you Elliott Management's summary opinion on US paper: "We Make This Recommendation To Our Friends: If You Own US Debt Sell It Now [5]." Today, Bill Gross doubles down.
Gross: The #Fed [6] is where bad bonds go to die. Today it was 10-years. Tomorrow 30-years. Stay short my friends.
— PIMCO (@PIMCO) August 14, 2012 [7]
And the amusing thing, of course, is that the short bus brigade will, as usual, take this as an endorsement of stocks even as the bear flattener thesis develops.
