Generally, recessions are bullish for bonds. Which makes this 3.8% bond yield a “best recession bet.” Why are we talking bonds in a year where they have all been crushed? Well, that’s the reason. The cure for poor bond performance is the high yields that are now staring us in the face. We look forward, not backward. If you took our cue and used cash under your mattress as a bond proxy for the year, then you are sitting pretty. Because now, we finally have attractive fixed-income yields! Granted, safety is the key here. Remember, we are picking an economic slowdown as our catalyst.… Read more