Tuesday, January 15, 2013

Important Charts Updated!

December's and January's are always slow. Lot of time is spent with family and friends, which leaves less time for blogging. You have probably noticed that it has been overdue for awhile now, but I've finally updated the "Important Charts" section of the blog. While the page contains a lot of different indicators for a variety of asset classes I follow, a cupel that have grabbed my attention in recent months are connected to the US Treasury Bond market. Consider these two charts:

Are government bond yields finally starting to move upward?

The other side of the bond market that measures inflation expectations via TIP vs Treasury spread, also known as break evens, disagrees. We seem to be overheating and could be signalling a top for majority of risk assets including S&P 500.

Do you think bond yields have finally bottomed, after a long 31 year secular bull market? 

Please post your comments as to why you think or do not think so. I look forward to good debate and in the meantime, make sure you look at the rest of the charts at "Important Charts" section of the blog. Use the charts freely, as long as you source the blog. Enjoy!

p.s. Later on in the week I will continue with the Part IV update for 2013, focusing on Commodities.