Last week’s semi-encouraging jobs report has once again brought about calls for the Federal Reserve to begin the tapering process.  I find myself to be rather agnostic and wouldn’t make an investment decision based on this type of short-term issue, but the key is understanding that interest rates are likely to stay very low due to a weak global economy.  Long-term, the results of these unprecedented monetary policy steps are likely to lead to inflation and potentially very dangerous bubbles, but the current fear is really deflation, especially in Europe.  Gross finds some value in the 3-5 year term bonds, while he sees significant risk in the longer-term maturities.  I think he is probably right in this analysis, but I don’t see much that is attractive even on the shorter-term maturities.  I believe there are some selective opportunities in the municipal market and there are very few in the high-yield corporate market, but bond funds in general are undesirable.  At T&T Capital Management, we combine our deep value investing philosophy with the selling of puts and covered calls to generate income and reduce risk.  The worst case is that you’ll end up owning a stock you want to own at a cheaper price than what is available at current prices.  I’d much prefer this type of dynamic strategy than any of these funds.