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Wall Street week ahead: Bond, stock investors making hay; can both be right?


NEW YORK: With U.S. stocks near record highs and Treasury bond yields near multi-month lows, the disconnect between equity and debt investors has rarely been as stark. Over the coming months, the economy is likely to show one of the groups has bet wrong.

The S&P 500 <.SPX> sits less than one percent below an all-time high. After a wintry first quarter, stock investors are betting that economic growth is picking up, as evidenced by stronger spending figures and business demand. That's boosted the cyclical stocks which react to rising demand, particularly energy shares.

   

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