Indicator w/ Perfect Record Says No Bottom Yet

Business Insider headline: An indicator with a perfect track record shows stocks haven’t bottomed yet - and markets shouldn’t rule out a hard landing, BofA says…

:pushpin: Stocks still have room to fall, and investors shouldn’t discount the odds of a hard landing yet, Bank of America says.

:pushpin: Only 30% of the firm’s bull-market indicators have been triggered, versus over 80% in previous market bottoms.

:pushpin::pushpin:Plus, one signal with a perfect track record has yet to signal a bottom, according to BofA.

Analysts highlighted in a Wednesday note to clients that the so-called Rule of 20 dictates that the sum of year-over-year CPI growth and trailing P/E has always been below 20 when the market bottomed. But right now, it’s sitting at 28.5, with P/E at 20 and the latest CPI showing an 8.5% gain.