Soaring Treasury yields threaten long-term performance of US stocks

  • 📰 Reuters
  • ⏱ Reading Time:
  • 40 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 19%
  • Publisher: 97%

대한민국 뉴스 뉴스

대한민국 최근 뉴스,대한민국 헤드 라인

Soaring U.S. Treasury yields are further boosting the appeal of bonds over stocks, deepening an already painful equity selloff while threatening to weigh on equity performance over the long term.

Bond yields near historic lows bolstered the attractiveness of stocks over the past 15 years, when the U.S. Federal Reserve kept rates near zero to support the economy following the 2008 financial crisis.

The latest spurt higher in yields, which began this summer, has taken its toll on stock investors. Although the S&P 500 is up about 9% for the year, it has slid over 8% since late July, when it peaked for the year. The 10-year Treasury yield has climbed about a full percentage point since then. Meanwhile, the equity risk premium , which typically pits the S&P 500's earnings yield against the 10-year Treasury yield to determine equities' relative attractiveness, recently stood at 30 basis points, compared with a 20-year average of about 300 basis points, according to John Lynch, chief investment officer at Comerica Wealth Management.

As it stands, S&P 500 companies are expected to increase earnings by 12.1% in 2024, according to LSEG IBES.

이 소식을 빠르게 읽을 수 있도록 요약했습니다. 뉴스에 관심이 있으시면 여기에서 전문을 읽으실 수 있습니다. 더 많은 것을 읽으십시오:

 /  🏆 2. in KR
 

귀하의 의견에 감사드립니다. 귀하의 의견은 검토 후 게시됩니다.

대한민국 최근 뉴스, 대한민국 헤드 라인

Similar News:다른 뉴스 소스에서 수집한 이와 유사한 뉴스 기사를 읽을 수도 있습니다.

Stock Market Today: Treasury rebound gives stocks a lift; mega-cap tech earnings on deckInvestors are waking up to a huge day on Wall Street, with a host of third quarter earnings, PMI data, a 2-year note auction and mega-cap tech updates all on the slate.
출처: startelegram - 🏆 248. / 63 더 많은 것을 읽으십시오 »