US Rates Make New All-time Lows
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From an intermarket perspective, if you told me back in March that the S&P500 and Nasdaq would be where they are today, I would have bet my life that rates would be much higher.
The market is a humbling place. This is just another good example.
So what's the answer?
Well, this might be a clue. US Regional Banks went out last month at New All-time Relative Lows as well:
With bank stocks continuing to struggle compared to other stocks, US Treasury Bonds keep making new all-time highs, across the curve. But why?
Do we ignore this and keep buying stocks? That's been working. Bonds haven't come off all year, yet stocks have done very well since March.
Does it not matter? Can Gold, Bonds and Stocks all keep making all-time highs together forever?
I wouldn't say "forever", but I will say that it's lasted longer than I could have imagined. So why can't this continue a little longer?
Does one of these have to give?
New all-time monthly closing highs for stocks, gold and bonds.
Which one has it right?
Which one is ready to collapse?
Are none of them going to collapse?
How does this end?
JC