The Motley Fool Discussion Boards

Previous Page

Investment Analysis Clubs / The BMW Method

URL:  http://boards.fool.com/stocks-are-stocks-and-cash-is-cash-on-the-one-30367556.aspx

Subject:  Re: DOW30 redux Date:  11/7/2012  5:03 PM
Author:  Jim2B Number:  40766 of 41627

Stocks are stocks and cash is cash.

On the one hand, nearly every DOW30 stock is down 2+% today.

On the other hand, the interest rate on XOM & JNJ corporate bonds are lower than the interest rate for equivalent Treasuries.

The companies may be more credit worthy than the US government, however, as you point out, their stock is still stock.
Copyright 1996-2014 trademark and the "Fool" logo is a trademark of The Motley Fool, Inc. Contact Us