The stock market today has 'echoes' of the 1987 crash, and even a hint of a recession would be a massive blow to equities, Societe Generale says

• Stocks are following the same path they did ahead of the 1987 stock crash, Societe Generale said. 
• Investors are bullish in the face of rising bond yields, in an "echo" of late 80s sell-off. 
• Any sign of recession now could spark big losses for investors, the bank's Albert Edwards said. 

The stock market is sending worrying signals, and any sign of recession now could spark a big sell-off, according to Societe Generale strategist Albert Edwards.

Edwards pointed to the strength of US stocks despite rising bond yields, which have surged as investors see higher for longer interest rate policy from the Federal Reserve. The yield on the 10-year US Treasury recently passed a 16-year-high, climbing to around 4.768% on Tuesday.