Sell stocks as another correction is coming, strategist warns
May 22, 2018 / Silvia Amaro
The bond market is signaling an upcoming correction and investors should sell their shares in listed companies, a strategist told CNBC Tuesday. Borrowing costs have gone up over the last few weeks, with the yield on both the 10-year U.S. Treasury note and the two-year bond reaching multiyear highs last Friday. Higher yields, which move inversely to bond prices, pose a risk for equity markets, given that they mean higher costs for companies and, thus, fewer chances for shareholders to make profits.