Perhaps you are right. But the bond market disagrees with you. The BoC does not set interest rates on bonds. The market does. And the market believes that inflation will be subdued in the future (over the next 5 to 10 years). The bond market could be wrong but I wouldn't personally bet against that.I disagree. We are in fact headed for a period of higher interest rates and thus inflation. And in fact, for many things such as gas, insurance, housing, heating and groceries, prices over the past 5 years have gone up dramatically. I think the inflation numbers are a lie that won't stay repressed for much longer. The only reason the BOC hasn't dramatically increased interest rates thus far is they are afraid to scare consumers to stop spending, which causes further economic issues.
If that question was for me - I don't play inverse ETFs.If you believe that U.S. long-term interest rates will rise, what are your thoughts on the hedged Horizons Beta Pro U.S. 30 Year Bond Bear Plus ETF
I used to only play chess where there is no luck at all and you have to rely on your skill. Now I recently learned to play Backgammon. I think investing is similar to Backgammon in that it's 50% strategy, 50% luck. Life may imitate chess as Kasparov said, but investing imitates Backgammon.In the book, the author explains how a lot of what happens to us--in our careers or in managing our investments--is as much the result of luck and chance as it is skill and hard work.
I believe US long-term interest rates will rise... just not anytime soon.If you believe that U.S. long-term interest rates will rise, what are your thoughts on the hedged Horizons Beta Pro U.S. 30 Year Bond Bear Plus ETF:
Or the brouhaha over how interest rates were going to be sky high pretty soon. How many people rushed to lock-in their variable-rate mortgages? Just two months later, we are worried about deflation, not inflation. So much for economic forecasting!I see that the Canadian dollar is back down to around the 94 cent range against the U.S. dollar.
When it was recently above par, didn't the majority of the 'experts' predict that it was going to stay above par for a long time this time around?
Why do we even waste our collective time listening to these people?
Our guess is about as good as theirs!!!