Stock Bull Out Of Patience With Bond Bear, Wilson Warns

And the most important variable for stock performance in January is -- drumroll -- rates. That's according to Morgan Stanley's Mike Wilson who, in his first massive of the new year, noted that the equity-rate correlation recently flipped negative again, which is to say if yields are rising, stocks are falling. Remember how this works: Stocks can digest higher bond yields if they (yields) are rising for the "right" reasons, where that means growth expectations (or growth outcomes) are improving