MisBehavioral economics marches on

The stock markets have found their inner cha-cha, zigging up, then down, mostly sideways, but at an admittedly lofty plateau. An uncertain, temporary (probably) threshold was reached last week in credit markets on Thursday, when bond yields and the dollar fell. The market disruption of last months centered on a rise in 10-year-yields, that augured an overall change in the values of equities. The impetus was job growth coming up short, which in turn suggested less inflation threat. Inflation threat (much of it threatened by Wall Street Vultures) would subsequently subside. There is calm, and those who doubt the calm. Behavioral economics marches on.

Treasury yield dips - WSJ