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Markets are acting as if the US will stave off a recession forever, with stock and bond investors showing unprecedented ...
For example, analysts will compare the S&P 500 earnings yield to bond yields when evaluating the relative return potential of equity vs. debt investing. Often, the equity earnings yield is higher.
The earnings season is ramping up, and investors are once again focusing on whether companies will beat or miss expectations.
This uses the earnings yield for stocks, the earnings divided by price, or the inverse of the PE ratio, along with the yields on the three-month Treasury bill, as a proxy for cash, the 10-year and ...
Bloomberg Municipal Bond Index yield to worst; for taxable-equivalent yield assuming a top federal tax bracket of: 40.8% (37% plus 3.8% investment income tax) for 2018-2025, 43.4% (39.6% plus 3.8% ...
Until the past few weeks, stocks continued to climb to records as bond prices fell. Recently the S&P 500 earnings yield fell below the 10-year Treasury yield to a degree not seen since 2002.
The equity risk premium, often defined as the gap between the S&P 500’s earnings yield and that of 10-year Treasurys, turned negative in late December for the first time since 2002 and sat last ...