WS #15200
US 10-Year Treasury yields reached 5.31%, the worst quarterly performance since 1994, driven by a resilient economy that is hurting bond prices but supporting equities. This high-rate environment pressures rate-sensitive sectors like REITs and high-multiple growth stocks, while benefiting financials on net interest margin expansion. The yield spike acts as a drag on overall market valuation multiples.
Macro Rates and Treasury Yields
US 10-Year Treasury yields reached 5.31%, the worst quarterly performance since 1994, driven by a resilient economy that is hurting bond prices but supporting equities. This high-rate environment pressures rate-sensitive sectors like REITs and high-multiple growth stocks, while benefiting financials on net interest margin expansion. The yield spike acts as a drag on overall market valuation multiples.