Bond yields fell to new lows on Monday. Is that good news or bad?

Well, it’s kind of both.

The drop reflects investors’ worries about the damage the coronavirus is doing to the global economy, and their growing expectations that the Federal Reserve will employ some of its financial superpowers in hopes of keeping the economic expansion alive.

The bond market is the larger, mild-mannered cousin of the more theatrical stock market, and bonds don’t move as sharply — the S&P 500 was up 4.6 percent on Monday, after skidding over 11 percent last week.

But when the bond markets move, investors pay attention.

Here’s what to know about what bonds are doing, and what it might mean for the economy.

Why should I care?

Long-term bond prices are determined by the outlooks for economic growth and inflation, which are usually stable. Short-term bonds are more influenced by what investors think the Fed will do with monetary policy.