For the first time since the financial crisis, US 30-year yield is less than the S&P 500 dividend yield.
I'm not a /biz/nizzman
What does it mean?
really makes you think
>>80085718
Not a biz-fag, but this means that investing in S&P index stocks is more profitable than working, as a US 30 year old.
I might be wrong. OP explain yourself
>>80086030
So being rich is better than being poor?
>>80086030
Well that's certainly disheartening if true.
well, shit, 30-year yields are a form of bonds, I'm a moron
OP, no one here speaks jew
>>80086161
>>80086707
30 year old yields are a form of bonds. I am a moron
OP, no one here speaks yiddish, what does this imply?
>>80086030
it means nothing. see >>80086000
(at least admire the trips)
this would have happened even without brexit. brexit just created higher volatility in the market (profit making opportunities) and it happened a few months sooner
>>80087108
I'm starting to get a
>1 post by this ID
feel from OP
>>80087108
In economics 30-year bonds (basically loans you give to the government) are considered "safe bets" since the government always pays them back. I guess with the inflation and more stable economy it's now safer to just invest in the stock market
It means there is a flight to safety.
>>80087135
>>80087550
So if 30-year bonds have a lower yield than the market that would just mean that it's more business savvy to go out and invest instead of parking your money in bonds, right?
>all this charts "for the last X years.."
>showing last 2 months
for fucks sake
It means we have more imaginary money produced every year *officially* than real money
>>80087867
What this means is people in the market are scared. They are viewing the market as very risky and so are pulling their money and buying 30 year bonds which are about as safe an investment as you can make (the U.S would have to implode for them not to be paid).
Now as the demand for bonds rises their price rises (standard demand and supply response). When the price of a bond rises its yield falls ( not going to get into why that happens) so as you can see the yields have hit rock bottom so fear in the market is peaking.
Hope I've helped you out.
This thread is proof /pol/ is just /shitpost/
>>80085718
It means bond holders are about to sell sell sell! Which for you and me mean hyper inflation and or asset grabs in gold and silver.
>>80085718
>>80086030
M&A Corporate finance analyst here:
It doesn't necessarily mean anything.
1. Dividends can be high or low just based on what kind of signals the firm wants to send.
2. High dividends require the firm to have cash on hand, usually the result of higher historical profitability.
3. It also implies the firm has few investment opportunities. If the firm had good investment opportunities, it would use the cash to invest instead of pay dividends.
