Topics

Metal and Mineral

Bonds rally and stocks slide as the price of oil plunges

Bonds rally and stocks slide as the price of oil plunges

The U.S. economy ended last year on a tear, but financial markets are saying the outlook for this year is less bright. Stocks continued to retreat from their recent record highs on Tuesday, weighed down by an ongoing plunge in the price of oil. Bonds rallied as investors bought the safest assets, pushing the yield on the benchmark 10-year Treasury note back below 2 percent for the first time in three months. The moves suggest that investors have little confidence the U.S. economy will continue to grow at the 5 percent annual pace reached in the final quarter of last year. As a consequence, company earnings will suffer. The reason for the gloomy prognosis is a slowdown in growth elsewhere...

Loading
72°