Source: Deutche Bank / Bloomberg

Torsten Slok of Deutsche bank charted the return on equity for US corporates, see above, and it doesn’t look pretty.

One might think the strong debt issuance and dearth of IPOs we’ve seen would offset the trend of ever higher stock valuations amid a sluggish economy, Cardiff Garcia at FT says in reference to Slok’s chart.

“So we’re not entirely clear what to think about this, but it’s one more indicator to worry people who are already nervous about the sustainability of equities at current valuations — and of the current economic expansion generally.”