Markets are running fast and at an elevated point

Today’s Daily Byte

Today is a significant day as it marks the point where the impact of the election results is now considered history. The market has resumed its previous path, indicating that the entire event of the elections is behind us. If there had been any nervousness, we would not have seen the markets climb back to previous highs or make new high closes.

Reading Time : 4 Minutes

Markets will move ahead despite roadblocks

Markets are running fast and at an elevated point. Many people feel nervous about the markets, especially with constant talks about potential events that might disrupt them significantly. Over the past eight years, numerous events have tested the market’s stability, causing some to wonder if it’s wise to refrain from investing.

Lets take a look at Past Market Events. . . . .

Reading Time : 2 Minutes

Stocks are losing premium over Bonds

This interesting chart highlights the S&P 500 earnings yield compared to the ten-year Treasury yield. Recently, as Treasury yields have gone up, the gap between what you earn in the S&P 500 and the Treasury yield has decreased. Now, it is nearly zero. If the Treasury is yielding 4.55%, that is about the same yield you get from the S&P 500.

From an investor’s point of view, why take a lot of risk in the S&P 500 if you get the same yield from a Treasury bond? . . . . .

Reading Time : 3 Minutes