A 10-Year Treasury Bond Now Pays More Than 118 Of America's Biggest Companies
Key takeaways
- Treasury yields now outpace the dividend income of almost all large‑cap U.S. stocks, reshaping the income landscape and pulling capital toward bonds.
- 10‑year Treasury yield 4.7%
- 118 large‑cap firms yield <4.7%
- S&P 500 3.85% of stocks > Treasury yield
What happened
A 10‑year U.S. Treasury bond now yields about 4.7%, higher than the dividend yields of 118 of America’s largest companies, including Apple, Nvidia, Alphabet and Broadcom. The S&P 500’s share of stocks with dividend yields exceeding the Treasury fell to 3.85% on July 31, 2026, the lowest level since May 2007. The 30‑year Treasury hit 5.34% this week, its highest since 2007, while the 10‑year peaked at 4.75% before easing to 4.65%.
Why it matters
The shift means the safest asset class now pays more cash than almost all large‑cap equities, reversing a long‑standing trend that favored stocks for income. It signals that investors seeking yield may redirect capital into Treasury bonds, potentially dampening equity valuations, especially for companies that rely on…
Short-term and longer-term
Short-term. Short‑term traders should watch the 10‑year Treasury yield for any further tightening, as it sets the benchmark for dividend sustainability.
Longer-term. Long‑term investors need to reassess the income profile of their large‑cap holdings.