TBT on Precipice of Another Plunge-- Hardly an indication of Economic Confidence or Strength
It seems that regardless of economic data-points that show better than expected economic performance and confidence, bond investors remain worried about, well, who knows?
The ProShares UltraShort 20+ Year Treasury (TBT) remains tenuously positioned at critical 7-week support, fighting for its technical "life," despite positive economic headlines and a roaring stock market.
My sense is that TBT is warning us that something is not quite right with the supposedly strong-- and expanding-- US economy, and/or that the Trump-aggressive growth agenda is going to be a struggle to implement.
In any case, on the eve of Trump's important speech before Congress, it is tiptoeing on support at 36.70/50, which, if violated, will trigger downside projections into the 37.00-36.00 target zone.