Since December 31, 2013 the longer term interest rates of the 20-30 year US Treasurys dropped 0.5% That's a big drop, and I elected to sell the Vanguard zero coupon 25-30 year Tresury bond fund, EDV yesterday at reistance.
Nearly every penny in fixed income funds has been converted to cash for the one to three month T Bill program outlined last time. Each month one third of the cash gets put into a three month TBill.
Kamakura Corporation projects a rise in one month T Bill ratesto about 1.25% in two years, 2.5% in three years and 3.0% in four years. This is, of course, "subject to revision", but it puts a possible dimension on guesses and impressions of mine.
While this is not the astronomical increase one hears about from hyperinflationists, it would put a big dent in fixed income portfolios.