JPMorgan: If bond yields continue to stabilize, it will greatly support the stock market.

JPMorgan strategists say that if bond yields continue to stabilize, it would "greatly support the stock market." The team led by Mislav Matejka said that the end of the bond selloff would help make the equity cycle more sustainable, ease AI financing pressures and household financial pressures, and halt the ongoing trend of P/E multiple contraction. The strategists noted that the third-quarter earnings season is expected to bring "positive signals," with most results disclosed so far falling into the category of "earnings beats and raised guidance."