Clear Signals That Market Risk Is Elevating

It’s no secret the economic data in the U.S. and other major economies have rolled over. That’s why bond yields have taken another nose dive — hitting record lows in Germany and nearing record lows in the U.K., the U.S. and Japan, as shown in the chart below. The bond market is telling you directly … “Forget the thoughts of recovery and hunker down for more economic pain and crisis.” While most of the banter through the latter part of 2009 was about an imminent run-in with inflation, the reality is, without demand,…