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Sentiment - when do interest rates bite?

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S0790 is my version of the Fed Model, but with moving brackets. It compares stock earnings yields with an interest rate composite. Watch! DAVIS100 and S661A tell me stocks are overvalued versus earnings. DAVIS208 and S702A confirm that stocks are very extended versus sales and the economy. Margin debt remains on a sell signal, and ETF inflows look overbought.

Ned Davis Research | NDR Hotline | Insights | 3X Weekly

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