The 10-year yield and $SPX used to move in opposite directions—when rates fell, stocks rose. That negative correlation is weakening now. Both are dropping together.
This matters because it signals a shift in what's driving markets. When stocks and bonds fall in tandem, it's usually not about Fed policy or growth optimism. It's about something breaking underneath—liquidity concerns, recession fears, or a repricing of risk itself.
Pay attention when old relationships stop working. The market is trying to tell you something.
This matters because it signals a shift in what's driving markets. When stocks and bonds fall in tandem, it's usually not about Fed policy or growth optimism. It's about something breaking underneath—liquidity concerns, recession fears, or a repricing of risk itself.
Pay attention when old relationships stop working. The market is trying to tell you something.
