B · Normal
[Bank of America: The attractiveness of U.S. debt has increased and it is truly competing with U.S. stocks for the first time in decades] On October 7, Bank of America’s Subramanian said that for the first time in decades, the stock market is facing real competition from bonds. She also warned that high investor sentiment puts the stock market at greater risk of disappointment than room for further gains. She said that the current risk-to-reward ratio for 10-year U.S. Treasury bonds exceeds 5%, and her team's own valuation framework shows that the return of the S&P 500 Index over the next 10 years may not reach this level.
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