Hedge Fund Manager Erik Townsend: Rising Rates & Rising Yields On the 10 Year Bond Will Crack Stocks?

Wall St. For Main St., Released on 5/20/18

Jason Burack of Wall St for Main St interviewed returning guest, former successful software entrepreneur, hedge fund manager and host of the popular Macro Voices www.macrovoices.com/ podcast for financial professionals & sophisticated investors, Erik Townsend.

During this hour+ long interview, Jason asks Erik about important topics including:

1) An in depth discussion of the Oil market and if Erik is worried about a record speculative long position in oil futures? If the Saudis don’t want a higher oil price?

2) The rising yield on the 10 year bond and how it is now over 3%! Erik thinks that if yields continue to rise on the 10 year bond, that it will eventually crack the stock market and cause a large correction or crash.

3) Tracking error on VIX ETFs and also how the leveraged short volatility trade has expanded far beyond just stocks now!

4) How will the Fed be able to sell ~$600 billion in asset sales via its QT program AND the US Treasury also will need to sell $1.2 trillion in additional US Treasuries in the near future. Who will be the buyer? Will pension funds and insurance companies be forced to buy?

5) A conversation about Bitcoin, block chain technology and crypto currencies in general. Erik thinks Bitcoin will be outdated and old tech (like the Wright Flyer en.wikipedia.org/wiki/Wright_… is to airplanes in the near future) and he thinks the same thing about other crypto currencies that rely on proof of work.

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