There is a strong negative correlation between bond yields and stock prices. When bond yields are high, stock prices tend to decline, and when bond yields are low, stock prices tend to rise. One reason for this is that when bond yields are high, investors can earn a higher return by investing in bonds than […]
How Do Bond Yields Affect Stocks
Bond yields and stock prices are two of the most important measures of the health of an economy. They are also two of the most closely watched indicators by investors. Bond yields are the interest rates that a government or company pays to borrow money. The yield is calculated by dividing the amount of money […]
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