What Happened The Last Time Bonds & Stocks Were So Disconnected?

Presented with little comment aside to note that bond shorts have not covered (in fact they added last week) and the last time we got this disconnected (with negative breadth in stocks and super low volatility) - things went south very quickly...

 

 

It's different this time though...

As an FYI - Treasury shorts lag the moves in rates - as rates rise, momentum gains and the world piles in short for the end of the multi-decade bond bull market... then each time they get over their skis and bond yields collapse... especially in 2011 when this last happened...

 

 

Charts: Bloomberg

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