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With the yield on U.S. 10-year Treasuries surging to their highest level in nearly seven years, investors are starting to wonder what will be the threshold triggering a big rotation out of equities and into bonds. Credit Suisse Group AG says we’re getting dangerously close to the level, yet yields could stall for a while. This year’s rise in the yield -- trading at 3.08 percent on Wednesday -- has derailed the stock market rally in both the U.S. and Europe, sparking worries over corporate borrowing costs and making the equity asset class less attractive than fixed-income assets overall. “Treasury yields at 3.5% would push people out of stocks and back into the Treasuries,” Michael O Full story

16 May