The last time the bond market did this, it was a buy signal for stocks

  • 📰 CNBC
  • ⏱ Reading Time:
  • 37 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 18%
  • Publisher: 72%

Australia News News

Australia Australia Latest News,Australia Australia Headlines

The last time the bond market did this, it was a buy signal for stocks (via TradingNation)

The yield curve between the U.S. 10-year note and 2-year note is its most flat since 2007, just points away from an inversion, while the 30-year yield has plummeted to all-time lows.

Falling yields, which move inversely to prices, suggest investors are flocking to safe haven assets such as the Treasury market on fears of a slowdown in economic growth.head of technical analysis, Ari Wald, said the 10-year Treasury yield is now its most oversold in eight years. However, he sees this as a buy signal for stocks, rather than a signal to flee.

"The stock-bond relationship has changed through time but historically speaking going back to data from 1963 such oversold conditions in terms of interest rates has been followed by above-average returns looking at the S&P 500," Wald said. "We do think that the depleted level of interest rates has made equity prices relatively attractive.

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.

TradingNation _xXCISXx_ $DXY dollarindex bonds yields $USD FastMoney Spreadsheet IS NOT available.-so whoever BenLichtenstein stole it for hacking Microsoft MUST PAY $30million per day for it-i charge $1 to 30million+ clients agashleymoody FREE DOX dropbox

TradingNation _xXCISXx_

TradingNation Historically when the Equities market is damaged like in 2009 interest rates remain low for 18 years on average We are a little over the halfway mark

TradingNation lmao you permabull charlatans

TradingNation Didnt you ppl just yesterday posted an article saying bond market is calling for recession something about yield curves. haha.

We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 12. in AU

Australia Australia Latest News, Australia Australia Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Stocks and Bonds Are Talking Past Each OtherThe yawning gap between markets is perplexing some investors, who say they struggle to discern how stocks can churn higher when bond yields are signaling a downturn may not be far off. Who says that is a direct colleration anymore? The Federal reserve manipulated that relationship. Why is the wsj so academic these days? What is to discern? The bond market is the crystal ball 🔮 God forbid the stock market be a bubble or anything.
Source: WSJ - 🏆 98. / 63 Read more »

Bond market close to sending biggest recession signal yetThe bond market could soon send its loudest recession warning yet, if the closely watched 10-year yield falls below the 2-year note yield. 🇺🇸Hey America Due to Trump's actions, the stockmarket & the economy are about to crash..worse than 2008. Trade wars Frozen assets & bank accounts Internet censorship War on Democrats, women's rights, minorities & the Press PURE TYRANNY Your $ is not safe in the US StayAlert Scare campaigns Talking heads. ScareTactics
Source: CNBC - 🏆 12. / 72 Read more »