2 Question Tuesday Presented by Focused Wealth Management

8/8/2023 - What Does US Credit Downgrade Mean For The Economy & How Am I Getting 4% YTM on Bonds?


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Phil, Mike, and Larry discuss what last week’s downgrade by Fitch Ratings of the government’s AAA credit rating to AA+ means to the economy and the safety of Treasury bonds. They then discuss the 10-year U.S. Treasury bond’s yield rising above 4% again. They then explain how if you buy a bond today with a 3.5% coupon you will receive a yield at maturity greater than 4%.

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2 Question Tuesday Presented by Focused Wealth ManagementBy Focused Wealth Management