Here’s the final chart we want to highlight from David Rosenberg’s presentation at The Big Picture Conference.
He devoted part of his time to explaining or arguing how the Fed has juiced the market despite mediocre fundamentals.
His explanation? The stock market is the only place to get any income.
Dividends are on the rise, and the Fed has smooshed interest income down to basically zero, so if you want a check in the mail each quarter, you have to be in stocks.
Here’s the chart that shows how dividend income has rebounded nicely since the crisis, while interest income has flatlined.