Friday’s ETF To Watch: iShares 1-3 Year Treasury Bond Fund (SHY)

Thanks to continuing fears over the debt situation in Europe, as well as concerns over the health of the American economy, demand for safe haven investments has been soaring as of late. While gold has held up during this time period, the real focus has been on Treasury bonds which have seen the vast majority of inflows, pushing yields down towards historic lows. In fact, the 10 Year is now yielding below 3.0% while the Two Year Note is hovering around the 0.40% mark, suggesting investors are growing increasingly concerned about the short and medium term economic picture. However, worries over the U.S. debt level should be giving many investors pause before accepting such low yields in these securities, especially considering an outright default is not out of the question later this year should a hike to the debt ceiling not be approved. In light of this, investors should pay [...] Click here to read the original article on ETFdb.com. Related Posts: Bond ETFs: 12 Stops Along The Risk/Return Spectrum August ETF Roundup: Launches, Filings, and Closures Treasury ETFs: Filling In The Duration Spectrum Long Term Bond ETFs: One Heck Of A Rally 2010: Year Of The Bond ETF