Our inspiration for this piece is a Wall Street Journal article, entitled “Stocks for Income, Bonds for Speculation,” published last Thursday. It seems upside down, backwards, or perhaps wrong, but this is the state of most world stock and bond markets as we write this. Bond yields have been on the decline worldwide. Last week…
During May the S&P 500 declined 6.35% on a total return basis, or after adding back in all dividends, and the 10-year U.S. Treasury note yield fell from approximately 2.5% to less than 2.1%, after yielding over 3.25% during November. This collapse in bond yields has occurred due to the beliefs that corporate profits have…
Curiosity is defined as a strong desire to know or learn something. It is also defined as a strange or unusual object or fact. Curiosity is an important trait for investors. Along those lines, your authors are curious about this particular curiosity: Where is inflation? Before proceeding we will offer these disclaimers: 1) we are…