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Markets · Investing · Business
Finance
The 10-Year Treasury Just Hit a 24-Year High. Here's Why AGNC Just Hit a 52-Week Low Because of It.
AGNC's share price has moved in the opposite direction from the 10-year Treasury yield.
The 10-year Treasury yield has risen sharply this year and was recently above 5.3%. That's not just a 52-week high, but it's also the highest level since 2002. Several factors have driven up bond yields, including elevated inflation, a massive federal deficit, and the debt-fueled AI infrastructure spending boom.
Rising government bond rates weigh on the value of other income-focused investments. That's why AGNC Investment(NASDAQ:AGNC) has hit a 52-week low while the 10-year is at its peak. Shares of the mortgage REIT are down nearly 30% from their 52-week high, pushing its yield above 16.5%.
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Disclaimer: This article is for informational purposes only and does not constitute investment advice. Data may be delayed up to 15 minutes. Past performance is not indicative of future results. Consult a licensed financial advisor before making investment decisions.
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