Post Profile






Bond-Stock Correlation Reaches Record High

The correlation between bonds and stocks has never been higher. In a 'normal' world, bond prices and stock prices are strongly inversely correlated (red shaded region in lower pane below) but the last few weeks have seen a massive regime shift (in fact the biggest shft in history) as the entire financial market becomes captured by central bank idiocy. While this is interesting from a historical perspective, the question is "so what?" Well, the last few times that bonds and stocks have risen or fallen together with such co-dependence has not ended well for stocks.
read more

share

Related Posts


An Interesting New Correlation Emerges Between Stocks And Bonds

Business & Finance : Business Insider: Clusterstock

Something to watch: Basically for the last week or so, there's been a positive correlation between stocks and bonds, a phenomenon that was not at all the case up until recently, when stocks would go down on days that bonds would rea...

Silver Is Getting Slammed But Bonds Best Post-Fed

Business & Finance : Zero Hedge

Silver is tumbling and gold is back below pre-Fed levels along with stocks. Bonds remain the safe-haven... And both gold and silver are getting clubbed... (silver broken back below ist 50DMA $19.61 and Gold back below its 50DMA $133...

US Bonds, Stocks Rally As Most Systemically Dangerous Bank In The World Collapses

Business & Finance : Zero Hedge

It's probably nothing... But hey, Hillary 'reportedly' won the debate so buy stocks? Which reminds us... Don't think Deutsche Bank matters? Post-Fed, Gold was shellacked today (despite very modest move higher in the USD Index) leavi...

"Brutal Price Action" Looms As Stocks & Bonds Correlation "Warning Sign" Flashes

Business & Finance : Zero Hedge

The correlation across asset-classes over the past few months - as global central banks ramp up QE to $200bn per month - is near record highs. Massive central bank stimulus with below zero rates and quantitative easing has led to in...

Stocks rise, led by tech and consumer companies

Business & Finance : Money & Co

U.S. stocks are rising in Tuesday morning trading as technology and consumer companies move higher. Energy companies are falling as the price of oil returns some of Monday's gains. Bond prices continue to rise and yields continue to...

Comments


Copyright © 2016 Regator, LLC