S&P 500 Forward Earnings Yield and 10-Year U.S. Treasury Yield The S&P 500 forward earnings yield looks attractive vs. the 10-year U.S. Treasury yield, but equity risk does not disappear. Image: The Wall Street Journal
Cross-Asset Correlation Matrix This grid showing the correlation between different asset classes, is useful for asset allocation. Image: Goldman Sachs Global Investment Research
Global Non-Financial Debt vs. GDP How much debt is too much? Economic growth rates and interest rates are key factors. Image: BofA
Global GDP – OECD Forecasts OECD forecasts 4.2% global growth in 2021, as global economic outlook remains uncertain. Image: Financial Times
Annual CO2 Emissions The U.S. and Europe account for under one-third of CO2 emissions. Image: BofA Global Research
Valuation – U.S. Market Capitalization to GDP and Cyclically Adjusted P/E (Shiller CAPE) U.S. market capitalization to GDP is at all-time high. Image: Goldman Sachs Global Investment Research
Equities – U.S. Large-Cap Stock Equal Weight/Market-Cap Weight Ratio Historically, when the equal-weighted index reverses and outperforms like today, it tends to be a good time to buy stocks. Image: Bloomberg
Government Bond Yield Forecast Morgan Stanley forecasts the U.S. 10-year Treasury yield at 1.45% by the end of 2021. Image: Morgan Stanley Research
Valuation – Dividend Yield and U.S. 10-Year Yield The gap between dividend yields and bond yields is back to the levels last seen in the 1950s. Image: Goldman Sachs Global Investment Research
Prediction Market Probability that Democrats Have Control Following the 2020 U.S. Election The prediction market probability of the Democrats taking control of the Senate has increased to 32%. Image: Goldman Sachs Global Investment Research
World Small Caps/Large Caps and U.S. 10-Year Government Bond Will small-caps continue outperform large-caps? Image: Nordea and Macrobond