The great bond tailwind for stocks is over
Iran tensions have driven up government debt yields globally. From 2000 to 2022, S&P 500 earnings yielded on average 3.1 percentage points more than 10-year US Treasuries. Now, high risk-free rates make equities less appealing, crimp government spending and curb economic growth.
Iran tensions have driven up government debt yields globally. From 2000 to 2022, S&P 500 earnings yielded on average 3.1 percentage points more than 10-year US Treasuries. Now, high risk-free rates make equities less appealing, crimp government spending and curb economic growth.
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