Can the stock market sustain rising U.S. Treasury yields?

Summary

Peter Boockvar warns that US equities would be hurt if the 10-year yield reaches 5%, particularly because rising Japanese yields remove a global haven. Mike Dickson counters that strong earnings and real economic activity can offset higher yields, supporting the stock market.

• Concern over whether the stock market can sustain a rise in the 10-year Treasury yield toward 5%.
• Peter Boockvar says a 5% yield would cause pain for equities, with today's market weakness possibly a first sign.
• He notes Japanese 10-year yields near a 30-year high, removing a traditional global low-yield haven.
• Mike Dickson argues this year's yield increase reflects stronger economic activity, not just policy tightening.
• Dickson believes robust earnings can offset higher yields and support stocks.
• AI spending and productivity expectations are among the forces supporting current earnings strength.