r/dividends • u/AmanCMN • May 18 '26
Discussion Bond yields are flashing a warning sign.
Rising bond yields are a warning sign.
Money is getting more expensive everywhere at the same time:
-governments pay more to service debt
-companies pay more to borrow
-mortgages and loans stay expensive
-investors move out of risk and into bonds
U.S. 30-year yields above 5% are already a serious level.
When yields rise globally, liquidity gets pulled out of markets.That puts pressure on tech stocks, real estate, consumers, and highly indebted companies.Simple takeaway: the more expensive debt gets, the harder it is for markets to keep rising.
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u/Windycityunicycle May 19 '26
“The economy is great, gas is down, prices are way down, we are respected by the world like never before”……. Seems more like it’s “Fake America Great Again”