Bond-Stock Correlation Reaches Record High

 

The connection amongst’s bonds and stocks has never been higher. In an “ordinary” world, security costs and stock costs are unequivocally contrarily connected (red shaded area in lower sheet underneath) yet the most recent couple of weeks have seen a huge administration shift (in reality the greatest shft ever) as the whole monetary business sector gets to be caught by national bank foolishness.

While this is intriguing from an authentic point of view, the inquiry is “so what?” Well, the last few times that bonds and stocks have risen or fallen together with such codependence has not finished well for stocks…

21,693 total views, 3 views today