“How Is This Possible” Deutsche Bank Asks, Looking At The Canary In The Junk Bond Mine
by Tyler Durden
ZeroHedge.com
11/23/2015
Melentyev’s rhetorical conclusion – how are these gaping, unprecedented divergences between virtually every other asset class to stocks possible?
The hardest questions we are trying to reconcile here are how is that possible to see all these signs of weakness under the surface – including weak commodities, tightening credit, retrenching consumer spending – being balanced by very strong equity markets and upbeat employment picture. One of these sides has to be wrong in its assessment of the current macro environment, and seeing both of them extending well into the future appears unlikely to us.
How? Ask the central banks.
As for this divergence ending soon, don’t hold you breath: if these same central banks decide the divergences should extend well into the future with now daily “whatever it takes” statements (even coming from Saudi Arabia as of this morning), expect mass confusion to be the norm for a long, long time.
The Rest…HERE
