Analysis: Yield curve for bonds signals challenge for capital market

04/4/2010 | Economist (free content), The

There are several plausible explanations for rising yields on long-term government bonds, which are producing a steeper yield curve, according to The Economist. The development presents a challenge for the capital market, The Economist notes. "One reason why equities have rallied is that their potential returns have seemed attractive relative to government-bond yields," The Economist concludes. "Now there will be more competition."

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Economist (free content), The

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