6% Treasury yields are the biggest risk facing stocks right now. Here’s why.

The bond market's recent turbulence, particularly with Treasury yields hitting 6%, is starting to impact stocks, leading to declines in major U.S. indexes for three consecutive sessions. This spike in yields signals higher borrowing costs and can prompt investors to shift funds from equities to safer bonds, squeezing stock prices. The situation underscores how sensitive markets are to changes in interest rates, which can affect everything from corporate profits to consumer spending. This dynamic highlights the broader economic implications of rising yields and their potential to reshape market dynamics.