Both are arguably in decent downtrends in the short-term. Sovereign bonds all over the world have gotten hit. Bunds have been torched. QQQ high fliers have gotten hit too. It almost feels like hedge funds have been hedging their FAAMG longs with treasury bond longs. I think the eventual resolution to this will be the QQQ taking a bigger dip in the coming days while TLT regains some stability as the risk off flight gains traction.
I was reading an article about AAII investors being 67% invested in stocks while having 15.5% allocation in bonds. The stock allocation is above average while the bond allocation is below average. The cash allocation of 17.2% is also below average. I would have to think this represent true market sentiment.
- “Overweighting stocks; bonds return nothing and will go down with rising interest rates.”
https://www.forbes.c...w/#5ac5bbf11a2b