Treasury prices have been a little weak over the last two weeks. As a consequence the Vanguard Intermediate Term Treasury ETF (VGIT) and the Vanguard Short Term Treasury ETF (VGSH), for example, have dropped from highs on June 25 of $66.03 and $60.94, respectively, to $$65.56 and $60.75 at 3 .p.m New York time today. Not much of a slide but still an opportunity to add to or establish positions ahead of an interest rate cut by the Federal Reserve at its July 31 and September 18 meetings. (An interest rate cut would push up the price of existing bonds with their higher coupon yields.)
I added the Vanguard Intermediate Term ETF to my Jubak Picks Portfolio on June 3 and the Vanguard Short Term ETF to my Picks Portfolio on June 20. The two ETFS are down 006% and 0.26%, respectively since them. I think this would be a good time to add more of these ETFs to your portfolio. (I favor the Short Term ETF right now since it is likely to be more responsive to interest rate cuts from the Fed.)
I added the Vanguard Intermediate Term ETF to my Volatility Portfolio on my subscription JubakAM.com and JugglingWithKnives.com sites on June 3.
Today I’m adding the Vanguard Short Term ETF (VGSH) to that portfolio as well.
Think of that as a recommendation to add Treasuries to your portfolio.