Friday, January 20, 2012

From US Treasury Bonds To Global Equities, Says The Market

Capital is reallocating from US Treasury bonds (public sector assets) to global equities (private sector assets). Emotional dependency on short-term volatility, however, prevents early recognition of this shift by most investors. Adding insult to injury, denial about the death of an old trading paradigm, often supported and repeated by headline chatter, ensures late entry for most.

Large Cap Total Return Index (LCSTRI) to Long-Term Government Bonds Total Return Index (LTGBTRI) Ratio and Z Score of Secular Trend