The speed of 10-year yield rising is concerning indeed. However, we should not be too conservative sometimes and should always remember that the rising yield indicates stronger economy activity.

While we look at the 1-year Treasury yield which reflects the liquidity of the market cashflow, it does not seem to be worrying. Before the state would declare the raise in the interest rates, we shall see less fiscal stimulus as a sign of balance sheet reduction. The rise of interest rates would be super harmful and impact thefast growing companies which currently still under a loss from operation.

Also, recent sector rotation is good for the market to prevent the burst of some tech bubble.It is also a good chance for those high valuation company to come to adjust their high P/E and etc.

Let’s have faith that the Fed will keep his promise to not raise the interest rates until year 2023 and all of us would enjoy a longer bull run.[得意]