From Goldman Sachs’ trading desk, a snippet from a note on yields (not) impacting on technology stocks:
- “As investors become more comfortable with a higher rate environment, yields on 10-year Treasuries may not need to fall back into the 3′s for longer duration assets to work”
GS cite the go-go late ’90s:
- “Indeed, yields on 10-year Treasuries ranged between 4.5% and 7% back in the late-1990′s in the years when the Nasdaq posted significant outsized gains (CPI inflation was also in a similar range as today, if not lower)”
This article was written by Eamonn Sheridan at www.forexlive.com. Source