Investors should avoid government securities, including U.S. Treasuries and the debt of other nations, because of the risks associated with excessive borrowing, a leading U.S. fund manager said on Tuesday.
"The most dangerous market there is national government debt because the borrowing doesn't seem to be ending soon — and it's not just a U.S. phenomenon," Dan Fuss, vice chairman of investment manager Loomis Sayles, told Reuters.
"I call it the new 'large-cap market' for its burgeoning size," he said.
Fuss does not expect the U.S. Federal Reserve to raise short-term interest rates at any time in 2010, noting that the economy still has not turned the corner on recovery. (more)
No comments:
Post a Comment