Treasuries now yield twice what the S&P 500's smoothed profits do

Treasuries now yield twice what the S&P 500's smoothed profits do Every grocery receipt now runs a small calculation: it is bigger than last month's. US prices are up 3.7% on a year ago, and that number sits under every yield on a screen. In 1972 Benjamin Graham turned it into a test: what stocks earn per dollar, divided by what a safe bond pays. His reading slid from 3.96 in 1948 to 0.72 in 1971, and he called the market unattractive. Replay it on smoothed profits and US stocks earn 2.5% against a 5.1% Treasury. Yet the S&P 500 is about 77 times its 1972 level, so the test measures price paid, not timing. Think of the last yield you were proud of: was that the number on the screen, or the number left after prices rose? ⚠️ For educational purposes only. Not financial advice. #AlphaBriefDaily #BenjaminGraham #Inflation #ValueInvesting #Treasuries #IntelligentInvestor