This chart shows why upward pressure on long-term Treasury yields matters to borrowers and stocks

Core Viewpoint - The 10-year Treasury yield reaching or exceeding 4.5% could pose challenges to the market according to BNY [1] Group 1 - A yield of 4.5% may lead to increased borrowing costs, impacting consumer spending and business investments [1] - Higher Treasury yields could result in a shift of capital from equities to fixed income, affecting stock market performance [1] - The potential rise in yields is linked to inflationary pressures and Federal Reserve monetary policy adjustments [1]