U.S. Bond Market Hedged and Unhedged

U.S. Bond Market Hedged and Unhedged Investors are frantically searching for yield, knowing that 25% of all bonds in the world trade at negative interest rates. Our world is aging with high levels of debt and low interest rates (maybe for a long time). Picture source: Fidelity Investments

Global Bond Market

Global Bond Market This chart shows the growing global “bond bubble.” Since 2000, the global bond market has tripled in size. Picture source: J.P. Morgan Asset Management

U.S. Bond Market

U.S. Bond Market Based on GDP and the forward curve, the U.S. 10-year seems quite expensive right now (more than 1 standard deviation). Picture source: Fidelity Investments

Seasonality Effect in the Bond Market

Seasonality Effect in the Bond Market This interesting chart shows the seasonality of 30-year Treasury bond. Picture source: Commodity Seasonality

Equity Market Driven by Bonds Not Profits

Equity Market Driven by Bonds Not Profits The chart shows a widening gap between cyclicals and bond proxies. It is clearly a cyclical bear market within a bull market, as during the dotcom bubble. Picture source: Societe Generale Cross Asset Research

Sovereign Bonds with Negative Yields

Sovereign Bonds with Negative Yields This chart puts things into perspective by showing the share of developed market sovereign bonds with negative yields (1-10 year maturities). Picture source: Credit Suisse