Thursday, April 23, 2015

The Idiocratic Divergence: Why Stocks Are Rallying

Stocks are celebrating the deteriorating economy, in anticipation of more Fed Dopium

ZH: April 23, 2015

Forward interest rate expectations via 2 year Treasuries:

The Idiocratic Divergence. Visualized
One of these markets is right and the other one is wrong. One is following the economic data, and the other is following the Fed dopium.

Stocks versus 30 year T-bond yields: