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Since the March low for the stock market virtually every asset class has risen in tandem. I believe that watching the correlations of various markets can be very useful. For example, one tipoff that the March low was a meaningful low was the fact that not every asset class was making a new low at the same time the S&P 500 was doing so. These divergences, seen in Chinese stocks, gold, oil and bonds hinted that not everything was going to hell in a hand basket:

We may now be seeing the opposite signal, however, as many of these same markets and asset classes once again diverge from the S&P 500 as it makes new highs for 2009: