Rising interest rates will crush the economy and risky assets. This has been my belief for years, and now it is coming true. Look out below.
|Interest rates will crush speculation
February 2023 performance
Chicken Little was flat in February 2023 while the The Dow Jones Industrial Average lost 3.87%. Year to date, chicken little has lost 21 basis points while the dow is down a bit more than 1%
February 2023 was a negative month for most major asset classes. Interest rates rose dramatically. Stocks, bonds, and gold lost between 3-7% in the month. Very short-term treasury bills and crypto treaded water.
March 2023 portfolio position
The Chicken Little Portfolio remains prepared for financial disaster. The portfolio is 86.25% invested in treasury bills that mature in less than one year - I am labelling that as cash now. 13.75% of the portfolio is invested in treasury bills that mature in early 2025. I am looking for a chance to short stocks again.