Albert Edwards Calls Out ‘The Usual Chorus Of Bears’

In April thirty-year German bund yields briefly dipped below 0.5% and 10y bunds hit 0.05% after sliding for more than a year, so now that we’ve had a sharp bounce back in the last month it might seem reasonable to call that the floor. Even if ECB intervention pushes yields back down a bit, there hardly seems to be any room for a sustained bond market rally. But Societe Generale stock-market permabear Albert Edwards thinks bond yields will go lower, and that investors don’t want to believe it because of what it says about stocks.

“The rapid upward move in yields over the past month, most especially in the eurozone, has produced the usual chorus of bears. We however...