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Why aren't elevated bond yields denting the equity rally?
Original: Why aren't elevated bond yields impacting the equity rally?
Bond yields remain elevated, yet equity markets continue to rally, raising questions among investors about what is driving stocks higher despite higher borrowing costs. Traditionally, rising yields pressure share prices by making bonds more attractive and squeezing company valuations. Commentators are debating whether markets are shrugging off rate concerns or expecting yields to fall soon.
Why now: Investors are puzzled by the unusual divergence between high bond yields and a continuing stock market rally.
Evidence
- Why aren't elevated bond yields impacting the equity rally? · Yahoo Finance UK
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