Professional investors who invest in the stock market have their ears close to the ground. A falling stock market is a sign of declining confidence, a sign that well-connected and intelligent people have concerns about the future.
At the same time, if investors lack confidence about the future, expecting rises in inflation and a jump in debt issuance, bond yields rise (i.e., bond prices fall).
In Russia, the stock market is sliding, and bond yields are surging. The Putin régime is starting to look very shaky.
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