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“Bond holders were rudely awakened, but other sources of yields took major hits as well, such as REITs and utilities, which have been down over 10% in the last two months.  Higher rates are doing those investors a favor – this is officially fair warning of things to come. I’d rather take a 10% loss on bonds or a utility stock now than take an even bigger loss when the Fed pulls rates higher. If you haven’t already gravitated to shorter-term maturity bonds, it’s time to seriously consider it. The party isn’t quite over yet for long-maturity bonds, but the bartender is making the last call. It’s time to get out of the bar before you get kicked out.”

http://www.caseyresearch.com/cdd/welcome-to-the-real-world