CHART OF THE DAY: Central Bank Tightening Is Officially Toxic For Stocks

button more charts
button chart prev
button chart next

In its new presentation on the three risks facing equity markets, Morgan Stanley identifies policy tightening as a key threat.

And for good reason.

This chart shows how markets in places where central banks are tightening are clearly underperforming those markets that have held rates steady.

chart of the day, central banks, feb 2011

NOW WATCH: Money & Markets videos

Want to read a more in-depth view on the trends influencing Australian business and the global economy? BI / Research is designed to help executives and industry leaders understand the major challenges and opportunities for industry, technology, strategy and the economy in the future. Sign up for free at