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384 views𝘿𝙀𝘼𝙏𝙃𝙀𝘼𝙏𝙀𝙍 ⁪⁬⁮⁮⁮⁮ ‌‌‌‌, Dec 26, 2021 at 06:12

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Create: 2021-12-26
Last Update: 2024-06-16 11:12:27

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Spiking bond yields driving sharp losses in tech stocks

A spike in interest rates since the start of the year has accelerated a rotation out of high-growth technology stocks and into value stocks poised to benefit from a reopening of the economy. The Nasdaq has fallen more than 10% over the past month as the Dow has soared to record highs, with a spike in the 10-year US Treasury yield acting as the main catalyst. It recently surged to a cycle high of more than 1.60% after starting the year below 1%. But according to Jim Paulsen, the Leuthold Group's chief investment strategist, rising interest rates do not represent a long-term threat to the stock market. Paulsen expects the 10-year yield to cross 2% by the end of the year. A spike in interest rates and its impact on the stock market depends on the economic backdrop, according to Paulsen. Rising interest rates amid a strengthening economy "may prove no challenge at all for stocks," Paulsen said.

Telegram is riding high, adding tens of million of users this year. Now the bill is coming due.Telegram is one of the few significant social-media challengers to Facebook Inc., FB -1.90% on a trajectory toward one billion users active each month by the end of 2022, up from roughly 550 million today.

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Spiking bond yields driving sharp losses in tech stocks

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