Why Stocks and Bonds Fell Together: When the “Safe Haven” Isn’t Safe

Risk-on assets are those favored when investors are optimistic about economic growth and willing to take on greater risk in pursuit of higher returns.

These typically include equities, commodities, high-yield (junk) bonds, real estate, and certain higher-beta currencies.

Conversely, when investors perceive rising uncertainty or economic stress, capital usually flows into traditionally safer assets such as bonds.

In the current environment, however, U.S. Treasuries are being viewed with more caution than usual, as tariff threats and broader global instability have introduced an added layer of risk to what is normally considered a safe haven.

Rates moved slightly higher today but not as bad as I anticipated.

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