- The 10-year Treasury yield has broken through to its highest level since 2002.
- Bond yields are assumed to have an inverse relationship with stocks, so the move should have been a problem for equities.
- Equities have not sold off, and Bloomberg Opinion columnist John Authers explains why high bond yields aren’t sinking stocks.
Quotes
“The 10-year Treasury yield, the most important number in global finance, has broken through to its highest level since 2002.”
“Bond yields are assumed to have an inverse relationship with stocks, so a move of this magnitude should be a problem for equities. But it hasn’t been, and Bloomberg Opinion columnist John Authers explains why.”