Wharton's Jeremy Siegel sees stock market up another 10% this year as Covid stimulus adds fuel

The yield on the benchmark 10-year began the calendar year, but it's soared since the end of January on expectations of a strong U.S. economic recovery from pandemic-induced damage, as well as fears of accompanying inflationary pressures. The yield, which moves inversely to prices, traded around 1.5% on Thursday, retreating from one-year highs above 1.6% in recent days.

Siegel, for his part, said he believes pent-up demand being unleashed on the economy — coupled with the dramatic increase in money supply during the pandemic — will continue to drive yields higher and lead to higher inflation. However, Siegel said he thinks investors will still prefer to be in equities over bonds, particularly those in cyclical sectors that benefit from an economic reopening. The longtime market bull told CNBC earlier this week he believes they will"Let's assume bonds to go 2.5% or 3%. If in an environment where have a 4%, 5% inflation — which I really think is going to happen — that's still not attractive at all" for investors looking for yield, Siegel said Thursday.

"If bond yields are rising, you take a double hit," added Siegel. "You have less purchasing power on the bond and the bond price falls, so we can't take advantage today of a bond yield 3% a year from now. It actually makes the bond market that much worse compared to stocks, and that's why the money I think is going to continue to flow into the stock market."

WallStreet 'advisers' and mass media: CNBC, Bloomberg have to be very proud for luring clueless retail 'investors' into the biggest StockMarket BUBBLE in history! This is what they are paid for by big corporations - turning retail investors into bagholders!

Investors! There is only ONE the most important thing you need to know about StockMarket - WE ARE IN THE BIGGEST STOCKMARKET BUBBLE IN HISTORY!!! 196% Ratio of StockMarket CAP to GDP!!! SIGNIFICANTLY OVERVALUED!!! DON'T LOSE YOUR MONEY!!!

𝐈 𝐰𝐢𝐥𝐥 𝐤𝐞𝐞𝐩 𝐬𝐡𝐚𝐫𝐢𝐧𝐠 𝐦𝐲 𝐭𝐞𝐬𝐭𝐢𝐦𝐨𝐧𝐲, 𝐈 𝐣𝐮𝐬𝐭 𝐦𝐚𝐝𝐞 𝐦𝐲 𝐭𝐡𝐢𝐫𝐝 𝐰𝐢𝐭𝐡𝐝𝐫𝐚𝐰𝐚𝐥. 𝐓𝐨 𝐞𝐯𝐞𝐫𝐲𝐨𝐧𝐞 𝐥𝐨𝐨𝐤𝐢𝐧𝐠 𝐟𝐨𝐫 𝐭𝐡𝐞 𝐛𝐞𝐬𝐭 𝐩𝐥𝐚𝐭𝐟𝐨𝐫𝐦 𝐭𝐨 𝐞𝐚𝐫𝐧 𝐃𝐌 Alexadra_Alison

From one day ago... so it will unravel for a 10% gain? Smells like click bait or this guy is talking out of both sides of his mouth.

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