Cognitive Dissonance And The Bond Bears
If you're the type who thinks it's a contrarian indicator when seemingly everyone coalesces around some variation on the same general macro theme, it's worth noting that, at least according to one survey, market participants have never been more pessimistic on bonds.
On several levels, that makes sense. Inflation is running the hottest in decades across multiple advanced economies and one way or another, central banks are in a position to facilitate higher rates, either with hikes aimed at rein
Something I’ve always found useful is to dedicate one window of your market monitor to a chart of all the sector ETFs, either indexed to 100 to relative to S&P 500. You can then watch these shifts in real-time. The shift into energy and financials started around Sept 21-ish, and both are now losing a bit of steam if XLF and XLE are any guides. Dedicating other windows to style, market cap, and regional ETFs is a worthy use of screen real estate too.