Based on consumer attitudes, it seems likely that the yield curve is in the midst of a long-term super steepening cycle. There have been four other cycles in the past 40 years, leading to mixed returns for stocks and most other assets, but good returns for bonds and some defensive sectors.; The Bull Ratio of newsletter writers in the I.I. survey has moved above 75% for the first time in months. Returning optimism has not been a good sell signal, though over the past decade it has led to more trouble than it did historically.

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