Don’t fear a 2% 10-year bond: UBS portfolio manager
UBS managing director and senior portfolio manager Jason Katz provides insight into economic recovery and Treasury yields.
A year ago this month, as COVID-19 raged, U.S. stocks plummeted to pandemic lows in what is considered one of the shortest and fiercest bear markets in history.
From February’s peak to March 23, 2020 stocks tanked 34% before bottoming out as a global panic set in over the coronavirus. Still, the bear market, just 16 days and topping the last record from 1929, is the shortest on record as tracked by Ryan Detrick, chief market strategist, at LPL Financial.
STOCKS CONQUERED COVID-19 BUT NEW HEADWINDS EMERGE
The rebound is equally impressive he notes, with the S&P 500 recovering its losses in just five months, the fastest ever for a drop over 30%. In 1987, a similar recovery took 20 months.