Investors Should Avoid Long-Dated Bonds
Written by Emily J. Thompson, Senior Investment Analyst
Updated: May 19 2026
0mins
Source: seekingalpha
- Bond Market Risks: George Noble warns that due to persistent U.S. budget deficits and rising government debt levels, long-dated bonds have become a 'very dangerous place to be,' urging investors to 'run, not walk' away from the bond market to avoid potential capital losses.
- Optimism for Energy Stocks: Noble expresses a bullish outlook on energy stocks, particularly drillers, arguing that years of underinvestment in oil production have created a favorable long-term backdrop, which could drive up stock prices for companies like Valaris and Cenovus Energy even if Middle East tensions ease.
- Gold and Silver Mining Investments: He maintains a positive view on gold and silver miners, highlighting SSR Mining and VanEck Gold Miners ETFs, asserting that mining stocks could continue to outperform even if bullion prices hold steady, thus providing investors with stable return opportunities.
- Traditional Portfolio Ineffectiveness: Noble points out that the traditional 60/40 portfolio no longer offers the same protection during inflationary periods, as the correlation between stocks and bonds has increased, suggesting that investors may need to reassess their asset allocation strategies to navigate market volatility.
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Analyst Views on XOM
Wall Street analysts forecast XOM stock price to fall
19 Analyst Rating
12 Buy
7 Hold
0 Sell
Moderate Buy
Current: 152.040
Low
114.00
Averages
132.17
High
158.00
Current: 152.040
Low
114.00
Averages
132.17
High
158.00
About XOM
Exxon Mobil Corporation is an energy provider and chemical manufacturer. The Company’s principal business involves exploration for, and production of, crude oil and natural gas; the manufacture, trade, transport and sale of crude oil, natural gas, petroleum products, petrochemicals and a wide variety of specialty products; and pursuit of lower-emission and other new business opportunities, including carbon capture and storage, hydrogen, lower-emission fuels, Proxxima systems, carbon materials, and lithium. Its Upstream segment explores for and produces crude oil and natural gas. The Energy Products, Chemical Products, and Specialty Products segments manufacture and sell petroleum products and petrochemicals. Energy Products segment includes fuels, aromatics, and catalysts and licensing. Chemical Products segment consists of olefins, polyolefins, and intermediates. Specialty Products segment includes finished lubricants, basestocks and waxes, synthetics, and elastomers and resins.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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- ExxonMobil's Advantage: As the largest oil and gas producer in the U.S., ExxonMobil doubled its Permian Basin production after acquiring Pioneer Natural Resources for $60 billion in 2024, projecting $25 billion in incremental earnings by 2030, showcasing its strong leverage in the policy shift.
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- Inventory Warning: As of late May, Cushing's inventory fell to 22.4 million barrels, down 4 million from February, with industry watchers warning that a drop to 20 million barrels could pose operational challenges for energy companies, highlighting the market's fragility.
- Emotion-Driven Market: Despite Chevron and Exxon executives indicating that oil prices do not fully reflect the market realities, investors are reacting swiftly to news from the Middle East, resulting in volatile price swings, demonstrating that market sentiment currently outweighs fundamentals.
- Cautious Investment Strategy: Given the dramatic fluctuations in oil prices, investors are advised to focus on integrated energy giants like Chevron and Exxon, which possess globally diversified portfolios and strong financials, providing a safety net during downturns while also benefiting from potential price increases.
See More
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- Cheniere Energy's Growth Potential: As the largest LNG producer in the U.S., Cheniere Energy is expanding its Corpus Christi LNG terminal, guiding for $4.75 billion to $5.25 billion in distributable cash flow by 2026, indicating strong growth prospects.
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