William Sullivan Bonds Quotations

Today the collective wisdom is that the economy will improve in the not-too-distant future, and that's hostile for bonds because it suggests that the Fed is done easing monetary policy and that financial markets may confront some interest-rate pressures as the economy improves and borrowing re-accelerates.

Corporate bonds are filling the void, to some degree. But this does not pave the way to a rally in bonds.

The stock market sees these data as representing an end to the recessionary environment and signaling some improvement in the not-too-distant future. For now, the dominant view is that this is the close on the 2001 recession, so you sell bonds to buy stocks.

The big influence on bonds is stocks' ability to move higher,