Everything in markets is connected. Not in theory—in function.
Think of the market like a human body. Your brain is at the center—processing data, storing memories, sending signals. But none of that matters unless the message reaches your limbs. That’s what nerves are for. They carry the signal. They make the body move.
Without that connection, you become rigid. Movement slows. Response times lag. Eventually, the whole system breaks down.
Markets work the same way and the bond market is the brain.
It holds the signal. It processes information about liquidity, risk, and expectations. The shape of the yield curve can tell you whether credit is expanding or contracting. Whether investors are optimistic or defensive. Whether the economy is warming up—or starting to overheat.
The bond market doesn’t just exist alongside stocks and commodities. It speaks to them. It sets the tone. It sends the signal.
If there’s enough liquidity, risk assets rally. Stocks rise and credit flows.
