Don't be fooled by a Dow over 18,000, says David Wright, portfolio manager for the Sierra Strategic Income Fund.
The Dow Jones Industrial Average may be back above 18,000, but the bell weather equity index does not reflect the true problems underlying the economy.
Higher interest rates generally don't bode well for bonds, because yields and prices move in opposite directions. But that doesn't mean to avoid bonds altogether. It means you should diversify.
As the Federal Reserve gets closer to raising short-term interest rates for the first time in nearly a decade, your bond portfolio might need a quick check-up.