diff --git a/mercurial/localrepo.py b/mercurial/localrepo.py
--- a/mercurial/localrepo.py
+++ b/mercurial/localrepo.py
@@ -1724,14 +1724,15 @@ class localrepository(object):
         if stream and not heads:
             # 'stream' means remote revlog format is revlogv1 only
             if remote.capable('stream'):
-                return self.stream_in(remote, set(('revlogv1',)))
-            # otherwise, 'streamreqs' contains the remote revlog format
-            streamreqs = remote.capable('streamreqs')
-            if streamreqs:
-                streamreqs = set(streamreqs.split(','))
-                # if we support it, stream in and adjust our requirements
-                if not streamreqs - self.supportedformats:
-                    return self.stream_in(remote, streamreqs)
+                self.stream_in(remote, set(('revlogv1',)))
+            else:
+                # otherwise, 'streamreqs' contains the remote revlog format
+                streamreqs = remote.capable('streamreqs')
+                if streamreqs:
+                    streamreqs = set(streamreqs.split(','))
+                    # if we support it, stream in and adjust our requirements
+                    if not streamreqs - self.supportedformats:
+                        self.stream_in(remote, streamreqs)
 
         quiet = self.ui.backupconfig('ui', 'quietbookmarkmove')
         try:
diff --git a/tests/test-http-proxy.t b/tests/test-http-proxy.t
--- a/tests/test-http-proxy.t
+++ b/tests/test-http-proxy.t
@@ -18,6 +18,8 @@ url for proxy, stream
   streaming all changes
   3 files to transfer, 303 bytes of data
   transferred * bytes in * seconds (*/sec) (glob)
+  searching for changes
+  no changes found
   updating to branch default
   1 files updated, 0 files merged, 0 files removed, 0 files unresolved
   $ cd b
@@ -101,6 +103,9 @@ do not use the proxy if it is in the no 
   * - - [*] "GET http://localhost:$HGPORT/?cmd=capabilities HTTP/1.1" - - (glob)
   * - - [*] "GET http://localhost:$HGPORT/?cmd=branchmap HTTP/1.1" - - (glob)
   * - - [*] "GET http://localhost:$HGPORT/?cmd=stream_out HTTP/1.1" - - (glob)
+  * - - [*] "GET http://localhost:$HGPORT/?cmd=listkeys HTTP/1.1" - - x-hgarg-1:namespace=bookmarks (glob)
+  * - - [*] "GET http://localhost:$HGPORT/?cmd=batch HTTP/1.1" - - x-hgarg-1:cmds=heads+%3Bknown+nodes%3D83180e7845de420a1bb46896fd5fe05294f8d629 (glob)
+  * - - [*] "GET http://localhost:$HGPORT/?cmd=listkeys HTTP/1.1" - - x-hgarg-1:namespace=phases (glob)
   * - - [*] "GET http://localhost:$HGPORT/?cmd=capabilities HTTP/1.1" - - (glob)
   *- - [*] "GET http://localhost:$HGPORT/?cmd=listkeys HTTP/1.1" - - x-hgarg-1:namespace=bookmarks (glob)
   *- - [*] "GET http://localhost:$HGPORT/?cmd=batch HTTP/1.1" - - x-hgarg-1:cmds=heads+%3Bknown+nodes%3D (glob)
diff --git a/tests/test-http.t b/tests/test-http.t
--- a/tests/test-http.t
+++ b/tests/test-http.t
@@ -35,6 +35,8 @@ clone via stream
   streaming all changes
   6 files to transfer, 606 bytes of data
   transferred * bytes in * seconds (*/sec) (glob)
+  searching for changes
+  no changes found
   updating to branch default
   4 files updated, 0 files merged, 0 files removed, 0 files unresolved
   $ hg verify -R copy
@@ -195,6 +197,8 @@ test http authentication
   streaming all changes
   7 files to transfer, 916 bytes of data
   transferred * bytes in * seconds (*/sec) (glob)
+  searching for changes
+  no changes found
   updating to branch default
   5 files updated, 0 files merged, 0 files removed, 0 files unresolved
 
@@ -251,6 +255,9 @@ test http authentication
   "GET /?cmd=branchmap HTTP/1.1" 200 -
   "GET /?cmd=stream_out HTTP/1.1" 401 -
   "GET /?cmd=stream_out HTTP/1.1" 200 -
+  "GET /?cmd=listkeys HTTP/1.1" 200 - x-hgarg-1:namespace=bookmarks
+  "GET /?cmd=batch HTTP/1.1" 200 - x-hgarg-1:cmds=heads+%3Bknown+nodes%3D5fed3813f7f5e1824344fdc9cf8f63bb662c292d
+  "GET /?cmd=listkeys HTTP/1.1" 200 - x-hgarg-1:namespace=phases
   "GET /?cmd=capabilities HTTP/1.1" 200 -
   "GET /?cmd=lookup HTTP/1.1" 200 - x-hgarg-1:key=tip
   "GET /?cmd=listkeys HTTP/1.1" 401 - x-hgarg-1:namespace=namespaces
diff --git a/tests/test-ssh.t b/tests/test-ssh.t
--- a/tests/test-ssh.t
+++ b/tests/test-ssh.t
@@ -38,6 +38,8 @@ clone remote via stream
   streaming all changes
   4 files to transfer, 392 bytes of data
   transferred 392 bytes in * seconds (*/sec) (glob)
+  searching for changes
+  no changes found
   updating to branch default
   2 files updated, 0 files merged, 0 files removed, 0 files unresolved
   $ cd local-stream
@@ -49,6 +51,23 @@ clone remote via stream
   2 files, 1 changesets, 2 total revisions
   $ cd ..
 
+clone bookmarks via stream
+
+  $ hg -R local-stream book mybook
+  $ hg clone -e "python \"$TESTDIR/dummyssh\"" --uncompressed ssh://user@dummy/local-stream stream2
+  streaming all changes
+  4 files to transfer, 392 bytes of data
+  transferred 392 bytes in * seconds (* KB/sec) (glob)
+  searching for changes
+  no changes found
+  updating to branch default
+  2 files updated, 0 files merged, 0 files removed, 0 files unresolved
+  $ cd stream2
+  $ hg book
+     mybook                    0:1160648e36ce
+  $ cd ..
+  $ rm -rf local-stream stream2
+
 clone remote via pull
 
   $ hg clone -e "python \"$TESTDIR/dummyssh\"" ssh://user@dummy/remote local
@@ -404,6 +423,7 @@ stderr from remote commands should be pr
   Got arguments 1:user@dummy 2:hg -R nonexistent serve --stdio
   Got arguments 1:user@dummy 2:hg -R /$TESTTMP/nonexistent serve --stdio
   Got arguments 1:user@dummy 2:hg -R remote serve --stdio
+  Got arguments 1:user@dummy 2:hg -R local-stream serve --stdio
   Got arguments 1:user@dummy 2:hg -R remote serve --stdio
   Got arguments 1:user@dummy 2:hg -R remote serve --stdio
   Got arguments 1:user@dummy 2:hg -R remote serve --stdio