For a client meeting, I struggled with how best to illustrate world markets since June 2008. I used R to produce this (I amended this post to reflect a prettier forked version as discussed in the comments), but I’m still not completely satisfied. Anyone have suggestions to improve?
What I thought was interesting was US equity outperformance and the US 10y yield move through the financial collapse low 2.15% seen in December 2008 and significantly lower than the 2.87% at the S&P low March 2009. I think both can be explained by an illusion of control assigned to the US. This illusion begins to unravel if the political process fails and monetary policy has reached its limits.