For Markets, Good News Is Good News Again

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For Markets, Good News Is Good News Again
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Streetwise: Investors have begun moving away from their obsession with inflation, shifting markets into a new regime where good news on the economy is again good news for stocks

investors have begun moving away from their obsession with inflationThis is a big change from the rally that lifted the S&P 500 from just after Christmas until mid-January, which was accompanied by

as inflation fears receded. Since then stocks have switched from rising when bond yields fall, to rising when bond yields rise—a return to what counted as normal for most of this century.

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