The Treasury market has been on quite a roll for the past 30 years, with the 10-year yield plunging from more than 15 percent in 1981 to about 2.5 percent currently.



But Marc Faber, publisher of The Gloom, Boom & Doom Report, warns that the fun won’t continue much longer.



“I think that there isn’t much upside potential in Treasuries, unless it’s for the short term,” he told CNBC.



“If I look 10 years ahead, where do I want to have my money? Certainly not in U.S. Treasuries.”



The exploding budget deficit will doom the Treasury market, Faber says. The Obama administration estimates the deficit will total $1.47 trillion this year and $1.42 trillion in 2011.



For investors who insist on buying Treasuries, Faber recommends the short end of the yield curve, which suffers less when interest rates rise.



But his preferred investment is commodities, particularly gold, agricultural commodities and farmland.



“I'd rather buy an asset class that has been in a bear market for 10 years,” Faber said.



While some experts agree with Faber that Treasuries are a bubble, others see more gains ahead.



“Growing uncertainties about the U.S. economy and the rest of the world add to speculation that the Federal Reserve may extend credit easing, or even enhance it,” Hideo Shimomura, chief fund investor at Mitsubishi UFJ Asset Management, told Bloomberg.



“Ten-year yields may fall below 2 percent.”



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