The Bond Market Sell-Off Could Be a Red Flag for Wall Street, and History Says Investors Should Make This 1 Move
Historically, Treasury yields rising above 5% haven't automatically triggered a sell signal for stocks.
Overview
Long-term Treasury yields continue soaring to multidecade highs.
The 10-year Treasury yield recently touched 5.2%, its highest level since 2007. The 30-year yield is up to 5.5%, a level it hasn't hit since 2004.
Details
In general, higher yields can be bad for stocks. They increase borrowing costs, lower stock valuations, and can give investors an attractive alternative to stocks.
Source
Originally published at www.fool.com.
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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.