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Long-term Treasury yields have surged, pressured by inflation concerns, rising government borrowing, and a wave of AI-related corporate debt issuances.
Jim Cramer says stock investors who are not tracking that move are missing the story. The bond market, in his framing, is where the governing variable for equities currently sits.
The three pressures on the long end Cramer points to three factors building on the long end of the curve. Inflation concerns are keeping yield expectations elevated, a familiar dynamic from recent rate cycles.
Government borrowing is adding supply to the Treasury market, which pushes yields higher as the market absorbs new issuance.
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