From Investors Business Daily, December 14 (also on blogroll at right):
10-Year Treasury Yield Breaks Key Level; These Stocks Are Huge Winners
The 10-year Treasury yield fell overnight to below 4%, extending a huge retreat in less than two months. Tumbling yields are a tailwind for the stock market, but especially regional banks like Comerica (CMA)
The benchmark Treasury bond yield fell 8 basis points to 3.95% overnight, the first time it's been below the 4% level in four months. The 10-year yield surged to a 16-year high just above 5% in late October. Yields have plunged on reduced Treasury borrowing needs, a steady decline in inflation, and a Fed shift from rate hikes to expectations of several rate cuts in 2024.
On Wednesday, the 10-year Treasury yield plunged dived 17 basis points to 4.03%, a four-month low.
Sliding Treasury yields mean that while the Fed is shifting toward cutting its official rates, market rates have already come down sharply. That's good news for the economy.
Meanwhile, the long-inverted Treasury yield curve is becoming less so.
The two-year Treasury yield skidded 12 basis points to 4.33% early Thursday. That's after plummeting 25 basis points to 4.48% on Wednesday, the lowest close since June 1.
Regional Banks....
....MUCH MORE
