Gold vs. U.S. 10-Year Real Yields and U.S. Dollar Index – 3-Month Correlation of Weekly Return Generally, U.S. 10-year real yields and the U.S. dollar are negatively correlated with the price of gold. Image: Goldman Sachs Global Investment Research
Manufacturing PMIs and U.S. 10-Year Real Yield (Leading Indicator) Manufacturing PMIs tend to lead U.S. 10-year real yields by 6 months. Image: MarketDesk Research
Inflation – Real Estate Real Dividend Yield vs. TIPS Real Yield Real estate real dividend yields remain attractive relative to TIPS real yields. Image: BofA US Equity & Quant Strategy
U.S. High Yield – % $HY Negative Real Yield How long will U.S. junk bonds with negative real yields last? Image: Deutsche Bank
Exchange Rate, Yen Per Dollar and 10-Year Real Yield, U.S. Less Japan The disconnect in real rates extends to the currency market. Image: Morgan Stanley Wealth Management
Gold Price and U.S. Real Yields (Inverted) Has gold lost some of its lustre? Image: Richardson Wealth
Real Yield – 10-Year Government Bonds The relationship between global real yields has been limited in recent years. Image: Morgan Stanley Wealth Management
Valuation – U.S. 10-Year Real Yield and MSCI World Index Forward Price/Earnings Ratio The price of global equities is expected to fall, if U.S. real yields rise. Image: Morgan Stanley Wealth Management
Valuation – U.S. 10-Year Real Yields and MSCI World N12M PE (Inverted) If U.S. real yields rise, the price of global equities is expected to fall. Image: Morgan Stanley Research
MSCI World Value vs. Growth Relative Index and U.S. 10-Year Real Yields Value tends to outperform growth as U.S. real rates rise (R² = 0.93). Image: Morgan Stanley Research
Valuation – U.S. 10-Year Real Yields and S&P 500 12-Month Forward P/E U.S. 10-year real yields help explain the stock market valuation. UBS targets 4400 for the S&P 500 for 2021. Image: UBS