After a decade in the basement, interest rates are finally starting to move meaningfully higher. Let’s discuss the best stocks and bonds to buy with this backdrop.
If it feels like we had forever to prepare our portfolios for this moment – well, we did. This interest rate run has largely taken place on a treadmill. We’re almost two-and-a-half years into the Fed’s current rate hike cycle, and the Fed Funds rate is up a modest 1.25%.
Meanwhile the 10-year Treasury rate hadn’t really moved until recently. At all. The benchmark long bond now pays 2.86%:
Rates Slowly Grind Higher
If you believe your portfolio is behind the rate hike curve, it’s not by much.…