Market Review and Trends
Are rising govt bond yields good or bad for stock markets?
By The InvestQuest  •  March 1, 2021
For real-time updates, do join our: Telegram Group: The InvestQuestWhatsapp Broadcast: Just send “Hello IQ” to +65 8840 2520Facebook Group: The InvestQuest | Facebook This is Part 1 of our series on rising govt bond yields. In Part 2, we look at the impact of rising yields on the S-REIT sector in particular (and highlight which S-REITs analysts most bullish about at current prices). 1) Are rising yields good/bad for stocks? It depends. 2) Rising yields are good for stock markets, if two criteria are met 3) Instances of short-term yield spikes in the past two decades 4) Stock sectors that perform best to worst during yield spikes Rising bond yields are generally positive for stock markets if, 1) the rate of increase is gradual and orderly and, 2) it is rising from a low base. With the recent spike in 10-year UST yields coming in...
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By The InvestQuest
The Invest Quest was founded on the premise that the average investor makes sub-optimal investment decisions as a result of information asymmetry. It is our hope that this platform will narrow the information gap against the “smart money”.
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