Potential benefit of owning stocks over bonds has shrunk to its lowest level in 21 years

As Treasury yields continue to march higher, the expected benefits of owning U.S. stocks over bonds is looking increasingly unattractive.

It’s just the latest milestone for the ERP, which has been shrinking all year, drawing the attention of equity analysts after more than a decade of near-irrelevance. As MarketWatch explained earlier this year, one popular method for calculating the ERP involves taking Wall Street’s projected earnings per share over the next year for the S&P 500 index companies and dividing it by the level of the index, then multiplying the quotient by 100.

España Últimas Noticias, España Titulares

Similar News:También puedes leer noticias similares a ésta que hemos recopilado de otras fuentes de noticias.

Wall Street's biggest bear is standing by his call for stocks to slump 10% by January. Here are 4 charts that support his point.Joseph Adinolfi is a markets reporter at MarketWatch.
Fuente: MarketWatch - 🏆 3. / 97 Leer más »

Dow ekes out gain as U.S. stocks stage big reversalJoseph Adinolfi is a markets reporter at MarketWatch.
Fuente: MarketWatch - 🏆 3. / 97 Leer más »

7 stocks are holding up the U.S. market. Here is why they may soon fall back to earth.Joseph Adinolfi is a markets reporter at MarketWatch.
Fuente: MarketWatch - 🏆 3. / 97 Leer más »

Dow falls 100 points with Treasury yields near 16 year highs, oil jumping and tech earnings aheadIsabel Wang is a Markets Reporter for MarketWatch.
Fuente: MarketWatch - 🏆 3. / 97 Leer más »