The overhyped “bond bubble”

Needle about to pop a green balloon

During a return appearance on “Breakout,” Yahoo Finance’s daily investing show with host Matt Nesto, Charlie Smith weighs in on a number of items impacting current market trends, including the highly anticipated bubble in bonds.

Charlie offers that we are in a “grinding deflationary cycle” and the excitement around a bond bubble bursting is overblown. Expecting to see interest rates remain flat over the next two to three years, Charlie cautions investors not to flee from their bond investments.

Charlie also discusses the mundane levels of revenue growth in corporate America influencing his outlook on the S&P 500. Ultimately, he believes it is fairly valued at present.

Check back to the blog later this week for a more in-depth look at the state of the bond market from Todd Douds.

Charlie Smith on Yahoo! Finance