U.S. 30 Year Total Return Benckmark Government Index and All-Country World Total Return Index Could rising inflation be more painful for bonds than for equities? Image: BCA Research
Where Are We In The Cycle? Morgan Stanley expects a Goldilocks recovery in 2021, along with benign inflation and accomodative policies. Image: Morgan Stanley Research
World Tech + E-commerce vs. World ex-Tech & E-commerce The secular trend in the market has been deflation (credit & tech) dominating inflation, as $100 of EPS in 1995 is now $1,500 in the technology sector, but only $425 in everything else. Image: BofA Global Investment Strategy
Blended Money Supply vs. U.S. Nominal GDP Historically, U.S. nominal GDP growth tends to track money supply growth. More inflation to come? Image: Deutsche Bank
Total Returns – Gold, Nasdaq and MSCI World ex-US With the Nasdaq at all-time high, markets expect a weak global growth, low inflation and a strong U.S. dollar. Image: Gavekal, Macrobond
U.S. Money Supply M2 and Reserves of the Banking System U.S. money supply M2 shows significant jumps in growth, which could affect future inflation. Image: Financial Times
U.S. 10-Year Treasury Note Yield Year-Over-Year Change Explained Chart suggesting that the slowing industrial economy and inflation explain U.S. 10-year Treasury note yield. Image: Arbor Research & Trading LLC
Global FX Volatility In the current environment of low inflation and low interest rates, volatility in foreign exchange markets hits record low. Image: BofA Global Investment Strategy
U.S. Real Yields and Gold (Leading Indicator) Chart suggesting that real yields could fall further, either through lower rates or higher inflation expectations. Image: Bloomberg
Historical Returns of Stocks and Bonds by Decade The next decade could see anemic returns, due to low growth, low yields and low inflation expectations. Image: Morningstar