Treasuries Down. Cyclicals Up. Lather. Rinse. Repeat.

It’s still all about cyclicals. Treasuries are down and economically-sensitive stocks are up.

It was just one month ago that we celebrated the Morgan Stanley Cylical Index (^CYC) busting through 1,000. Today, it’s been as high as 1,070.

The CYC is on track to outperform the S&P 500 for the 32nd time in the last 43 sessions. If the Dow had performed as well as the CYC since the March 2009 low, it would be closing in on 25,000 today.

Posted by on January 3rd, 2011 at 1:33 pm


The information in this blog post represents my own opinions and does not contain a recommendation for any particular security or investment. I or my affiliates may hold positions or other interests in securities mentioned in the Blog, please see my Disclaimer page for my full disclaimer.