Tech stocks were clobbered last year when the central bank began its tightening campaign and the market environment turned to favor investments that generated immediate cash for the holder. Low yields, on the other hand, make many investors willing to pay more for shares of tech companies that they expect to churn out outsize profits in the future.
The yield on the 10-year Treasury note, which affects everything from auto and student loans to mortgage debt, has dropped below 3.5% from above 4% in early March. Monday’s yield decline on the two-year note, which is particularly sensitive to investors’ interest rate expectations, was the sharpest since Black Monday in 1987.
And in the derivatives market, investors say it is a tossup whether the Fed will raise interest rates by a quarter-point next week or hold them steady. Some traders are again calling for the central bank to cut rates later this year.“The writing on the wall is that between the stress on the banking sector and some other economic data out there, we’re getting to the end point here with respect to interest rate hikes,” said Don Calcagni, chief investment officer of Mercer Advisors.
The bounce in tech stocks is surprising to some investors, given the spillover risks from the collapse of Silicon Valley Bank, a big lender to venture capitalists and technology startups. The failure of the bank, which underwent a run on deposits, was the second-biggest in U.S. history. Signature Bank and
That just looks like more market corruption. I would not invest a penny in the corrupt stock markets.
With guaranteed bailouts for any amount, why wouldn't they be.
just the kind of in-depth reporting and analysis expected from the WSJ thanks!
Россия Последние новости, Россия Последние новости
Similar News:Вы также можете прочитать подобные новости, которые мы собрали из других источников новостей
Источник: CNBC - 🏆 12. / 72 Прочитайте больше »
Источник: MarketWatch - 🏆 3. / 97 Прочитайте больше »
Источник: MarketWatch - 🏆 3. / 97 Прочитайте больше »