We’ve not had inflation issues the last few years BUT yellin has hinted about too much asset inflation.  When does SPY fall?  When the FED policy acts against inflation AND the economy is weak.  At that point the Fed has no choice but to proceed until inflation hits a lower level let’s say 40% fall for SPY and 1.0 for core inflation.

All cycles have that character inflation+weak economy..

Biggest bubble here at this time. Since the end of taper, it has gone sideways.

Watch jnk to

As low as 16 in the 2008 crash, it has correlation and is a leading indicator for SPY! It goes sideways when qe ends…