It’s not how low you go, it’s how fast you fall.
That, in a nutshell, is the logic behind a bond market signal for stock investors that shows the deterioration in credit may be happening too fast for equities to withstand. The indicator, Leuthold Group’s Dow Bond Oscillator, just flashed a reading that has spelled trouble for equities before, and may have bitten Tuesday as the S&P 500 slid the most since August.
