E Odds Rising For Inverting Yields, Falling Stocks & Recession

Even gold is holding strong against rising short-term rates and with the USD bouncing around multi-year highs. 

Thus a great divergence between the stock and bond market. 

(Click on image to enlarge)

The market was quick to price in Trump's economic stimulus and tax cuts when he was elected. But now it looks like getting congress and the senate to agree and pass those agendas are pipe dreams, at least anytime soon. Bond investors faith since March has diminished in Trumps "reflation".

I believe the economic data, an overly ambitious Fed, the price of gold, and bond markets are all signaling weakness ahead. 

There is one question now, when will the stock market converge back with bonds? 

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