Governments sell bonds to investors as another method of raising needed to build schools , hospitals etc and pay public servants . Up until now , the 10 year bond yield offered by the govt has been appallingly low , and buyers havent stepped up, In effect there has been a stand off between the Government and bond buyers .However the govt has now blinked and increased the 10 year bond yield available to buyers, This normally signals to the market that general interest rate may also be ready to increase . So all those investors that were forced into stock market for better returns , will drift back to the safety of interest income , rather than dividend income , resulting in a broad down turn in demand for most shares.
CHM Price at posting:
28.0¢ Sentiment: Hold Disclosure: Held
A personalised tool to help users track selected stocks. Delivering real-time notifications on price updates, announcements, and performance stats on each to help make informed investment decisions.
(20min delay)