Morgan Stanley IM: When Will Rising Bond Yields Matter for Stocks?
Jim Caron, CIO of the Portfolio Solutions Group, shares his macro thematic views on key market drivers.21.02.2024 | 06:38 Uhr
- The question of whether rising bond yields will push equities lower is met with an age-old answer: it depends on why yields are rising.
- If yields are rising because the economy is running hot, with stronger data and labor markets, then rising yields need not negatively affect stocks.
- This is overly simplistic of course, as there are many other variables to consider.
- However, understanding why rates are rising gets to the heart of the matter.
- Like many things in bond markets, it’s conditional and best explained through scenarios, ones that we explore in this audiocast.
See below for important disclosures.