It isn't surprising to see the collapse in yields. However, what is a big tell and signal is the lack of buying in equities over the same period.
This would mean there is likely a crowding into bonds for the sake of squeezing out the appreciation (not the yield) and not an interest in using the lower yields in the bond market to buy more equities and take on...
A more clearly labeled chart showing the actionable prediction.
Note, this will become active upon breakout.
At this time, while flat, still holding real estate and gold equally.
VNQ is close to breaking down vs Gold. Means Gold more favorable than VNQ if it breaks down.
Why it matters:
Assumption 1: If this long macro cycle rolls over, it is better to own Gold than VNQ.
Assumption 2: If better to own gold than VNQ, is it better to own Gold vs SPY? That too is about to roll over.
