Wanted to share some charts in hopes of sparking some discussion, on where folks feel the markets are heading.
YTD Analysis:
RED is SP500 Index @ +1.48%
ORANGE is FXCM USDollar Index @ -2.32%
CANDLES are TNX (10YR USD TNOTE) @ -13.91%
Personally, I don’t feel the correlation is too strong between the $ and treasuries as we’ve seen yields fall alongside the value of the USD. The FXCM USDollar index is a weighted index of the USD v EUR, GBP, JPY, AUD, and is a great way to quantify dollar strength against the other majors. If yields have fallen nearly 15% YTD, we’d expect to see the value of the dollar rise accordingly.
YTD Currency Analysis:
ORANGE is AUDUSD @ +5.17%
PURPLE is GBPUSD @ +2.93%
BLUE is EURUSD @ +1.23%
BROWN is FXCM USDollar @ -2.64% (slightly off from above- not sure why.)
GREEN is USDJPY @ -3.00%