Double - Digit rally in us treasurys

There has been a lot of speculation on the U.S. bond market recently, and in today's Media Minute, Stansberry analyst, Brett Eversole, explains why he thinks we'll see a double-digit rally in U.S. treasuries. Today is Thursday, October 10th. Bond prices have soared for more than three decades. But now for the first time in years, bond prices are actually falling. The yield on the ten year treasury for example is up more than one percent just a few months. This move has sparked many folks, important folks, to declare the death of the bond market. Bond king Bill Gross made that exact prediction earlier this year. While over time this will probably be correct, I believe bonds are actually expected to rise in price over the next few months. My reasoning is simple. There are just too many investors who expect bonds to fall right now. This extreme sentiment shows up most strongly in the commitment of trader's reports for U.S. treasuries. This report is a weekly report that shows the bets of real futures traders, and right now those traders are more embarrassed than they've been in years. Buying based on this extreme let the four trade since 2007, and they return an average of 14 percent in just four months. So while in the long term, bonds are probably a bad place to be, I'm happy to buy them over the next few months. To learn more about Stansberry and Associates, please visit www.stansberryresearch.com. To receive free daily investment information from Brett and other Stansberry analysts just click on the link below. For the Stansberry Media Minute, I'm Sara Wilson.