Keep Your Eye on Bond Yields

S&P thinks the Treasury market holds the key for stocks over the next couple of weeks

The stock market continued to rally off of the recent lows but the gains were limited, in our view, by higher Treasury yields and crude oil prices. The yield on the 10-year Treasury note bounced off the 5% zone to finish the week up near 5.2% while crude oil rallied to almost $73 per barrel. We think stock indexes have their work cut out for them with these intermarket pressures.

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