Rising US Bond Yields Signal Post-Election Market Risks

Goldman Sachs analyst David Kostin warns that rising bond yields could pose a risk to the post-Trump election stock rally, despite strong economic data and anticipated Fed rate cuts. While stocks have surged on Trump's pro-growth policies, the bond market's reaction suggests potential challenges ahead, with higher yields reflecting concerns over deficit-swelling tax cuts and trade tariffs. Kostin maintains a cautious outlook for the S&P 500, highlighting the impact of interest rates on stock buybacks and funding operations.