Junk

While the S&P 500 has yet to take out its bull market highs, the high yield junk bond market has been making new highs for weeks now.  A six-month chart of the high yield bond ETF (HYG) is shown in the first chart below.  HYG has now been in a nice uptrend for the past five months, and within the last few weeks it made a new bull market high.  The less risky investment grade ETF (LQD) has struggled recently and can't seem to break away from its 50-day moving average.  Since the March 9th, 2009 financial crisis low, the junk bond market (HYG) is up 47%, while investment grade corporates (LQD) are up 24.1%, and this doesn't even include dividends (interest payements).  With junk breaking out to new highs recently, the equity market shouldn't be far behind, right?