Name: Welcome to the everything rally Charts that Count
Uploaded: 2020-08-14T09:30:12.000Z
Duration: 2 min 49 s
Description: Thousands of YouTube videos with English-Chinese subtitles! Now you can learn to understand native speakers, expand your vocabulary, and improve your pronunciation...

Adverbs of manner

And welcome, more importantly, to the everything rally.

Adverbs of degree

The price of just about every financial asset is headed up,

Start with US stocks, which are right back up

We'll look at junk bonds, which are enjoying a screaming rally.

The most popular theory has it that a powerful combination

of activism by the Federal Reserve and other central banks

and low growth expectations have driven real bond yields -

that is inflation-adjusted bond yields - down below zero.

Or, to put it another way, that money is free.

Under those conditions, no asset price can be too high.

After all, you can always borrow more free money

that real rates will be low or even negative

Now, the market could be wrong about how long

It could also be wrong about the relationship

between super low rates and other asset prices.

But what is especially worrisome right now,

is that in a downturn it used to be investors' best defence was

Owning a mixed basket of different kinds of assets

meant that some asset you owned would always

be outperforming - at least relatively - at any given time.

And the rally has been explained by a single simple factor,

If that theory is correct, when the downturn comes

Subtitles ListPlay Video

Welcome to the everything rally Charts that Count

stuff

slightly

negative

combination