Why 2014 Should Be Another Bull Market For U.S. Equities - Seeking Alpha
This is a very good article about why 2014 will be a good year for the stock market. The author gives several reasons for a continued bull market, but his favorite indicator was the yield curve between the 10-year government bond and the 3-month treasury bill. He presented an outstanding chart from the U.S. Treasury Department which shows how we have an inverted yield curve during recessions. The short term yield becomes more than the long term yield. We are nowhere near an inverted yield curve currently, and this means the economy will not drag down the stock market. We may indeed have a pullback at some point in time, but I agree with the author that we are still in a bull market.
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment