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Ben Carlson, director of institutional asset management at Ritholtz Wealth Management, highlights that the 10-year Treasury yield has increased from just under 4% to 5.3% this year. Despite this sharp rise in bond yields, the S&P 500 index is up more than 14% in 2026, raising questions about why higher yields are not weighing on the stock market.
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Carlson has previously noted that the top 10 stocks now comprise nearly 40% of the S&P 500, each exceeding a $1 trillion market cap. He has also discussed how AI could lift S&P 500 EPS growth by 2% annually but may present a 10% chance of existential human risk. These observations come as the market continues to demonstrate resilience despite rising bond yields.