Canadian equities look cheaper than U.S. equities

Difference in equity premiums between Canada and the U.S.

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Note: Difference is equity premium on Canadian stocks (S&P/TSX60 yield less yield on 10-year Canadian government bonds) less equity premium on U.S. stocks (S&P 500 yield less yield on U.S. 10-year Treasuries)

THE GLOBE AND MAIL Source: Veritas Investment Research