Bond and Record Lows

fund managers: Yet an analysis of portfolio positioning shows that over the last six months, fund managers piled into those expensive bonds, and the perceived safe-haven yen, even as they bought typically riskier U.S. equities, according to Market Watch. The valuation conundrum isn't unique to the government bond market. A report Tuesday by Black Rock Investment Institute showed that government bonds in five countries are at their highest valuations in history. Investors cheering on the S&P 500 SPX, +0.01% and Dow industrials' climb to all-time closing highs have also been forced to recognize the frothy valuations that come with the strong run. But as government bond yields have tumbled to record lows, and even negative levels, across the world, bond prices have been inflated to an extent that makes stocks look cheap by comparison. Rising stock prices while earnings growth continues to decline means that stocks have become a lot more expensive, too. (news.financializer.com). As reported in the news.