The Most Crucial Chart
From what I saw, there were no complaints about breadth and the small-caps during Tuesday's rally. There were no complaints about volume, either, even though that came in relatively light. I believe the best thing that happened in the market Tuesday was the selloff in U.S. Treasury bonds and the rise in yields.
There was one other item in bond-land that I did not see a word about: corporate bonds. In the last few weeks, it's seemed to me that there's been a daily commentary on iShares iBoxx $ Investment Grade Corporate Bond (LQD) and how great it has been doing. I kept looking at the chart and thought, "It's up in nosebleed territory, but the chart hadn't done anything wrong." Tuesday it did. Do look at the volume, as well, on this decline....384 more words left in this article. To read them, just click below and try Real Money FREE for 14 days.
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