Eaton Vance Fixed Income Portfolio Manager Eric Stein says it's a bad time for U.S. government bonds.

SHOWS: NEW YORK, USA (JANUARY 12, 2015) (REUTERS - ACCESS ALL)

1. EATON VANCE, FIXED INCOME PORTFOLIO MANAGER, ERIC STEIN, SAYING:

JOURNALIST ASKING ERIC STEIN: 'Is it a bad time for government bonds?'

STEIN: 'I think it ultimately will be and I think it is really depending on what part of the curve. I think the front end of the curve ultimately will selloff as the Fed raises rates. I don't think you want to be positioned in the front end of the treasury curve. The long end of the curve though, that is really has a lot of global factors. So, what is going on in Europe with the ECB a decision coming in a couple of weeks, what is happening with global commodity prices. And so we are benefitting in the U.S. despite the fact the economy is so strong with relatively subdues inflation money is coming in to the safety of U.S. treasury markets and so just like having the oil price fall I think that is a net positive, though some negative implications, but a net positive for the U.S. economy. These low treasury yields, despite this really strong payroll growth that we have been talking about, that is another form of stimulus, another benefit for the U.S. economy.'