Welcome to Animal Spirits, the podcast that takes a completely different look at markets and investing,

from two guys who studied the markets as a passion and trade for all the right reasons.

Here's your host, Michael Batnick, and Ben Carlson.

Welcome to Animal Spirits with Michael and Ben.

David Schowell had a good tweet last week,

letting us know that the first quarter of 2018 was the first

quarter since the third one in 2008 where the S&P 500 and Barclays US aggregate

Bondex both had negative total returns.

So for investors in a traditional 60-40 portfolio,

there was nowhere to hide.

And you run some numbers on this before.

It's a rare occurrence, but it's something that happened.

So the numbers you gave me so you said since

nineteen seventy six which was the inception of the Barclay's ag which is something of a

total bond index

nine percent of the time or fifteen times out of a hundred and sixty nine

instances these two have been down together.

So this is just something that happens.

It's unfortunate.

It's kind of painful for investors.

But if you're measuring your performance over a quarterly period, every once in a while you're going to be disappointed.

Yeah, and I went back a little bit earlier to 1926 through 1975 before the index was created to look at what

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