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Bonds Not Buying Into This Stock Rally

Stocks took off for a good early gain–but those are now rapidly being given back.

The 10 year treasury popped a couple basis points–but now has settled back to yesterdays close.

I personally have reviewed all of my holdings a few times today–I haven’t bought or sold, although there were gains in the Golar LNG Partners (GMLPP) 8.75% I bought yesterday–which would have bought a steak dinner or two–I’m holding.

Today some of the mall REIT preferreds are taking it in the shorts. Pennsylvania Real Estate Investment (PEI) issues are off 10%–of course this company has plenty of problems.

The CAI preferreds are off 2% (more or less), and many bank preferreds are off 2%.

Here is the big loser list.

Just as I have been writing this note some equity indexes have gone RED. For now I will sit back and watch–we could be living with the corona virus for a while.

While I am watching I am watching some favorites that folks are talking about–some of the utility preferreds and baby bonds–they still aren’t cheap, but they are quite a bit cheaper than they were last week. Nisource 6.50% perpetual fixed rate reset (NI-B) which just went ex-div is around $27.15–$1.50 lower than last week. National Rural Utilities Coop 5.50% baby bonds (NRUC) which is off around $1.40/share. Also the DTE issues and Entergy issues have lost ground in the last week.

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