Bond Stock ratio showing further gains for Equities

The Bond Stock ratio is a very important ratio which shows movement between asset classes.

See how it spiked up in 2020 Feb when covid broke out. After April it has been heading lower as fear subsided. It has now made new lows. This is not a sign of fear. This is a sign of risk appetite. This is suggesting further gains for Equities as investors preferring Equities over Bonds.

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