21. Falling yields increase the value of bonds, which insurance companies such as General Re buy with the premiums they receive. 22. Falling yields lower the cost of borrowing for companies with long-term debt. 23. Falling yields make bonds less attractive as an alternative to stocks, but this time stocks continued to decline as Treasury yields dropped to historic lows. 24. Falling yields mean companies can save on borrowing costs. 25. Falling yields pushed up financial stocks. 26. Falling Treasury bond yields will also boost stocks by brightening the outlook for profits later in the year and making stocks relatively more attractive than bonds. 27. Falling Treasury yields support Japanese bonds by narrowing the spread between the two bonds. 28. Falling U.S. yields boost Japanese bonds in part by reducing the incentive for Japanese investors to seek out relatively higher yields overseas. 29. Falling U.S. yields can push investors to seek higher returns in emerging equity markets. 30. Falling yields benefit stocks by making it less expensive for companies to borrow money. |