S&P 500 Equity Risk Premium – Consensus Bottoms Up Earnings Yield – 10-Year Treasury Yield The S&P 500 Equity Risk Premium has increased over the last few weeks. Image: Morgan Stanley Research
S&P 500 Index Real Earnings Yield The real earnings yield on U.S. stocks has never been lower. Image: Morgan Stanley Wealth Management
Equity Risk Premium (ERP) – S&P 500 Earnings Yield Minus 10-Year Treasury Yield The S&P 500 looks attractive relative to bonds. Image: Truist
Valuation – Inflation and the S&P 500 Earnings Yield Inflation suggests that U.S. stocks look expensive. Image: Morgan Stanley Wealth Management
S&P 500 Real Earnings Yield Is the S&P 500 real earnings yield bearish for the U.S. stock market? Image: The Daily Shot
S&P 500 Real Earnings Yield Historically, negative real earnings yields tend to be bearish for U.S. stocks due to policy response. Image: BofA Global Investment Strategy
Equity Risk Premium – 12-Month Forward Earnings Yield Minus Real 10-Year Government Bond Yield The Equity Risk Premium has increased over the last few months. Image: BCA Research
S&P 500 NTM Earnings Yield Gap The S&P 500 earnings yield gap is expected to move towards its long-term average. Image: Goldman Sachs Global Investment Research
Real Earnings Yield – S&P 500 12-Month Forward Earnings Yield Minus 10-Year TIPS Breakevens Is the S&P 500 real earnings yield now bearish for the U.S. stock market? Image: Topdown Charts
Valuation – World Technology 12-Month Forward Earnings Yield Minus 2.5% and U.S. 10-Year Treasury Bond Yield Tech stocks are less attractive, as the world tech 12-month forward earnings yield minus 2.5% has reached the upper limit to bond yield. Image: BCA Research