Fewer Than 5% of S&P 500 Stocks Now Yield More Than the 10-Year Treasury

Fewer than 5% of $SPX constituents now offer a dividend yield higher than the U.S. 10-Year Treasury yield.
That is the lowest share since the period leading up to the Global Financial Crisis.
The comparison highlights how dramatically the relative attractiveness of bonds and equities has shifted as Treasury yields remain elevated.
When risk-free government bonds offer yields above the vast majority of dividend-paying stocks, investors receive less immediate income compensation for taking equity risk.
That does not necessarily mean stocks are headed lower, since equity returns also depend on earnings growth and capital appreciation.
But it does raise the opportunity cost of owning expensive equities, particularly for income-focused investors.
The setup is another sign that high bond yields are creating real competition for capital across the stock market.