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A chart "that should scare every bond investor," the yield on the 10-year Treasury has slipped...

  • Tuesday, October 9, 2012, 7:32 AM ET
    A chart "that should scare every bond investor," the yield on the 10-year Treasury has slipped below the S&P 500 dividend yield. The last time it happened - for a brief period during the financial crisis - Treasury yields were about 100 basis points higher a few weeks later.
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This news story has 5 comments:

  • Probably a little of both going on. 10 year yields are going higher, but more importantly the S & P yield is going lower. With mountains of corporate cash and dividend growth the S & P is going higher. A lot higher.
    9 Oct 2012, 07:39 AM Reply Like
  • Yeah, I'm with Mr. lauder on this one. The example should "scare stock investors."
    9 Oct 2012, 07:46 AM Reply Like
  • I don´t think dividends will go up with the new fiscal cliff taxes on them..I do think stock buybacks will be big as that helps the boss´s income because of all their stock options
    9 Oct 2012, 07:52 AM Reply Like
  • I think you misunderstood me. The Dividend yield is staying the same or going lower. Therefore the S & P 500 is going higher.
    9 Oct 2012, 08:42 AM Reply Like
  • The bond yield is courtesy of the EU and it is going to wander around for years. As for the S&P it is not clear what happens since we have not got a tax code as yet. It is time to watch for information on whether Congress can agree that it really matters.
    9 Oct 2012, 10:20 AM Reply Like
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