Shift in stock/bond ratio due to expensive valuations, uncertainty, and risk of recession

From Investing.com: 2025-03-19 01:59:00

The US stock/bond ratio has shifted from high levels due to expensive valuations for stocks, uncertainty in the macro backdrop, and a possible risk of recession. The fiscal contraction could negatively impact stocks but support bonds. Asset allocators should reconsider their stock/bond mix as stocks turn the corner against bonds. Globally, emerging markets and developed markets outside the US are seeing an increase in the stock/bond ratio as economies improve. This highlights a global vs US rotation theme, with potential opportunities for investors to consider. (Source: Topdown Charts)



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