Foreign money just stampeded into US bonds.
The latest reading hit $103 billion. The forecast called for $72.5 billion.
Blake Young broke it down in today’s video. Big capital is repositioning right now.
TIC data tracks net money flowing into the US for long term bonds and notes. Overseas buyers drove it to $103 billion.
This marks four straight months of rising demand.
That money sells other assets first. Then it converts to dollars and buys American fixed income.
Blake reads one clear message in that flow. Smart capital wants safety with a return.
But there was something else that grabbed his attention…bonds.
Treasuries sold off hard. Blake flagged that drop as his entry point weeks ago.
Today handed him a reversal candle. Big sellers flipped into big buyers off a defended low.
He likes the 10 year treasury here. You collect 4% to 5% in yield before any price move.
That yield holds even if bonds stay flat.
Equities could be setting up for a correction. Blake laid out the risk of a 10% to 40% drop if the bears are right.
His plan targets 5% to 10% in that same window. You earn the dividend while you wait. You capture the upside if bonds climb.
He also pointed to utility stocks as a fixed income substitute. They pay dividends that match or beat bond yields.
Those names can also run 10% to 20% higher on a rotation into safety.
In today’s video, Blake mapped the exact levels and yields he is tracking:
- Foreign bond demand surged to $103 billion against a $72.5 billion forecast, the fourth straight monthly jump.
- IEI printed a doji bottom and bounced off support, paying a 3.72% yield with room to run from 116 to 119.
- IEF sits near 93.80 with a path to 96 and a longer target near 99, roughly a 6% to 7% move plus a 4% yield.
- Duke climbed from 58 to 70 in six months and pays a 3.4% dividend, with Dominion at 3.8% and Exelon at 3.6%.
- AEP is pulling back toward 134, and Blake wants to buy near 133 for the dividend plus the rebound.
Each play offers a yield to hold plus upside if the rotation continues.
