Stocks Fall as Treasury Yields Continue to Rise to New Highs

Stocks fell on Thursday as Treasury yields continued to climb. The 10-year Treasury yield reached a high of 4.239%, yet another fresh 14-year high.

Overall, S&P 500 was down 0.8% to 3,666, while NASDAQ declined 0.6% to 10,615.

Tweet of the Day

Chart of the Day

Our chart of the day is the one-year chart of PepsiCo (PEP) as of October 19, 2022, when the stock was at $175.

Founded in 1919, PepsiCo is one of the world’s largest food and beverage companies with more than $70 billion in annual sales. PepsiCo’s great worldwide brands include Pepsi, Frito-Lay, Tropicana, Quaker, and Gatorade.

Last qtr, PepsiCo delivered 10% profit growth and beat expectations of 2% growth. Revenue increased 8% year-over-year. Excluding the effects from acquisitions, core revenue growth was up 16%. The company’s top-line performance was attributed to stable volume growth in both snacks and beverage categories.

PEP has been one of the top stocks of this Bear Market. It is a core holding in the Conservative Growth Portfolio.

David Sharek’s Fair Value P/E remains at 26x earnings this qtr.

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