Here are 3 reasons why the stock market can survive rising bond yields in 2021

Published: Feb. 24, 2021, 2:58 a.m.

Here are 3 reasons why the stock market can survive rising bond yields in 2021 Rising Treasury yields have contributed to a selloff by the stock market\u2019s pandemic high-fliers, but probably won\u2019t be enough to spoil the appeal of stocks over bonds in 2021, according to one analyst.\n\nU.S. equity investors \u201chave become focused on the recent increase in 10-year Treasury yields over the past week, which are all the way back to mid-February 2020 levels,\u201d wrote Lori Calvasina, head of U.S. equity strategy at RBC Capital Markets, in a Tuesday note. Yields and bond prices have an inverse relationship.\n\nThe 10-year Treasury yield TMUBMUSD10Y, 1.343% is coming off its largest rise in six weeks, which has been blamed for sparking a pullback led by tech-oriented stocks that had benefited most from the stay-at-home dynamic created by the COVID-19 pandemic.