Stephanie Link, chief investment strategist at Hightower, which manages $350 billion, says rising 10-year Treasury yields near 6% could lead some investors to shift from stocks to fixed income, though she still thinks equities have room to run. A record $166 billion flowed into money market funds last week. She argues that consumer spending remains strong, with initial jobless claims at their lowest since 1969, and attributes rising yields mainly to growth that is better than expected, largely driven by AI. Link expects market breadth to improve after earnings and sees promise in quantum computing, robotics, and cybersecurity, while calling a small SpaceX stake speculative.
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- Why Hightower top investment strategist is sticking with stocks even as high treasury yields beckon
Stephanie Link, chief investment strategist at wealth manager Hightower ($350 billion in assets), is sticking with stocks even as the 10-year Treasury yield nears 6%. She argues consumer spending remains the backbone of the economy, with initial jobless claims last week at their lowest since 1969, and that growth, largely driven by AI, is pushing bond yields higher. She expects market breadth to improve after earnings as sectors like finance and industrials catch up, and sees promise in quantum computing, robotics and cybersecurity. Link sums up her approach as investing in what you know and see.
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