“You almost feel numb.”
The Speaker sees China’s 10-year sovereign bond yield converging to US rates on the way to zero.
Given historically low yields, bonds are losing their ability to effectively hedge against a large equity market fall.
The future is not always a reflection of the present. We believe the bull market has entered its third and perhaps final stage.
What happened to the assured recession which most models, surveys, and leading indicators have been pointing to?