ProShares UltraShort Lehman 7 10 Year Treasury (PST) Options

https://www.barchart.com/etfs-funds/quotes/PST

Look at this Article sounds great but no reaction.
https://www.bloomberg.com/news/articles/2017-11-30/fda-aims-to-expand-early-approval-program-for-promising-drugs

Is this coming into play anytime soon?

The danger here is the opportunity:

The ECB will attack the short end of the rate curve, but will that cause money flow to the US 7-10 year end of the curve-or shorter durations. Will that drive PST up?

TBT is down 3+% & PST down half as much,

1.3% down.


So the beta is not here.

This is a single while TBT is. Home run...or a strike out. Lol

Benny and the Jets have stopped ...

Stopped the rise in rates for now, but PST has been doing better than TBT.

I guess the Fed cannot depress the entire yield curve all at once.

Arise Bond Vigilanties!!!

Up 1%+ today was constructive,

and the "stairs" look to go up from this perspective. LOL

This ETF is a very long hold,

Months to years is my best estimate.

Considering its nature, I may trade it off and on, but it should be a stubborn hold.

Only TBT interests me more,
...Because the Fed has less power the farther out the yield curve you go.

I an very long this ETF now,

Having made a good amount on YCS before it folded last week. I still like Kyle Bass' thesis, however. Japan will be the biggest play ever when it's rates go up.

PST is 2X the inverse on the Lehman index for one day. After that, compounding can hurt or help you, depending on the character of the preceding volatility.

Fast forward 1year: bottom is in?

Well, at least we are closer to one. Lol

What a fantastic option available for those that know bonds have met their demise...

The bottom is in...