"Just in case there was any confusion which way SocGen's Albert Edwards may be leaning after the recent however many percent rally in the AUDJPY, sometimes known affectionately as stocks, it is hereby resolved: "My views on the outlook could not be clearer. They may be wrong, but at least they are clear. We still call for sub-2% 10y bond yields and equities below March 2009 lows." In other words, according to AE the market is well over 50% overvalued."
Thanks to piece from zerohedge link here these are hard to find now. Remember technicals can take over, the platforms that RULE the market can work with you for a time, can also reverse engines the HFT program trading that dominates the market.
Many have been QUICK to IGNORE the one glaring fact of this rally from March 2009, the less than bullish norm low volume rallies that are outdone by the volume on MOST declines.
That BOND YIELDS do NOT indicate the broader, larger investment community confidence in recovery, why the flight to safety still? WHY the DEFLATION RECESSION LIKE YIELDS? in the face of HISTORIC BORROWING?
GO ahead, let it all ride, leave it on the table.....market can go higher.......what is the structural base it has headed up from?
Duratek
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