Jim Rogers - on playing the yield curve for US Treasuries

20 Oct 2010 CNBC
[On whether shorting US Treasuries for medium term positions is still the trade of the decade]
"I have no idea. I am no good at market timing. I have started to short long US Treasuries in a very small way but if it goes against me I am going to turn my tail and run for the hills. But I have tried to start shorting US treasuries again."


[By shorting the long-dated Treasuries and buying short-dated ones you are hoping that the price of say 30 year treasury bills is going to fall (and its yield will rise) while the price of say 2-year bills is going to rise (and its yield will fall). This is a classic 'long-short' play or pairs-trading approach. You will make money if your timing and your prediction turn out to be correct; you will lose money if your timing and your prediction turn out to be wrong.]

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