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 […]
Why Do Treasury Yields Affect Tech Stocks
Investors have long observed a correlation between movements in Treasury yields and stock prices. The reasoning is that if Treasury yields rise, it becomes more expensive for businesses and consumers to borrow money, and this could lead to a slowdown in economic growth. As a result, investors may sell stocks and buy Treasuries, which are […]
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