The days of individual market activity are gone. Unlike the past few decades, when investors were able to analyze and study markets on an individual chart basis, today’s market is as interconnected as it has ever been, driving the importance for investors to really keep up with what’s happening in each asset class in relation to others.
Today, a spike in volatility within the S&P 500 drove the price of ten-year bonds in the United States higher, as both retail and professional investors seek safety while volatility decides to top and eventually come back down. While most would stop at that conclusion, professionals understand that rising bond prices will also lower their yields, making other market areas more attractive.
