Which Way for Stocks? Bonds Give a Clue

You’ll be surprised at what these clues say.They come from a look back at history. One analyst found that when the beauty contest between stocks and bonds sets up as it does today, bonds get destroyed. “For the third time since the 1850s,” he writes, “30-year rolling real bond returns are near equity returns, and on both previous occasions, multidecade bond bear markets followed.”And for stocks? Well, this same fellow deduces from the same history that stocks could rise 30% or more as inflationary expectations rise.http://www.howestreet.com/articles/index.php?article_id=14612
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