* US consumer confidence reading falls in March. * Fed's Kugler sees slow progress on US inflation. * Focus on US two-year note auction. By Douglas Gillison and Davide Barbuscia.
The recent drop in U.S. yields has raised speculation that a wave of buying of Treasury securities and derivative products called interest rate swaps by mortgage portfolio managers and insurance companies was partly responsible for their decline. These purchases are for "convexity" buying that helps offset the effects of mortgage refinancing to take advantage of lower interest rates.
* 10-year climbs as investors take some comfort. * S&P data also boost yields. * Analysts say markets still contending with uncertainty. By Douglas Gillison and Davide Barbuscia.
* Major U.S. indexes up more than 1% * Reports suggest Trump tariffs may be targeted. * Bostic sees only one Fed cut this year. By Chuck Mikolajczak. Global stocks rallied on Monday, led by gains in U.S. stocks, while U.S. Treasury yields climbed after reports that President Donald Trump's tariff plan may use a more targeted approach than previously thought, boosting risk appetite.
* Major U.S. indexes up more than 1% * Reports suggest Trump tariffs may be targeted. * Bostic sees only one Fed cut this year. By Chuck Mikolajczak. Global stocks rallied on Monday, powered by gains in U.S. stocks, while U.S. Treasury yields climbed after reports that President Donald Trump's tariff plan may use a more targeted approach than previously thought, boosting risk appetite.
* Major U.S. indexes up more than 1% * Reports suggest Trump tariffs may be targeted. * S&P manufacturing PMI falls back into contraction. By Chuck Mikolajczak. Global stocks rallied on Monday while U.S. Treasury yields climbed after reports that President Donald Trump's administration may take a more targeted approach to tariffs than previously believed, boosting risk appetite.
U.S. Treasury yields started the week on the upswing on Monday as investors digested media reports that President Donald Trump could soften the hit from a tranche of tariffs expected next week, adding to gains seen on Friday.
Japanese government bond yields rose on Monday, following U.S. Treasury yields higher, as a risk-off mood spread ahead of a looming deadline for another round of U.S. tariffs to come into effect. The 10-year JGB yield was up 1.5 basis points at 1.535%, 10-year JGB futures fell 0.15 points to 137.88 yen.
Global stocks rallied on Monday, led by gains in U.S. stocks, while U.S. Treasury yields climbed after reports that President Donald Trump's tariff plan may use a more targeted approach than previously thought, boosting risk appetite.
Global stocks rallied on Monday, led by gains in U.S. stocks, while U.S. Treasury yields climbed after reports that President Donald Trump's tariff plan may use a more targeted approach than previously thought, boosting risk appetite. Trump?said?automobile tariffs are coming soon, and said he may give "a lot of countries" breaks on tariffs, but provided no details.
* US 10-year yield higher, but holds in tight range. * Fed's Williams says policy in right place for now. * Fed's Goolsbee says uncertain if tariffs will lead to persistent inflation. By Karen Brettell.
* DOUBLELINE CAPITAL'S JEFFREY GUNDLACH SAYS I DONT BELIEVE WE ARE GOING TO SEE A CUT IN THE NEXT FED MEETING - CNBC INTERVIEW. * DOUBLELINE CAPITAL'S JEFFREY GUNDLACH SAYS I THINK THE FIRST CUT MIGHT COME IN JUNE-JULY - CNBC INTERVIEW. * DOUBLELINE CAPITAL'S JEFFREY GUNDLACH SAYS NOT A FAN OF 30-YEAR TREASURYS, PREFER SHORTER-MATURITY BONDS - CNBC INTERVIEW.
TRADING DAY. Parsing the Fed's new economic projections and 'dot plot' Wall Street rallied sharply. and Treasury yields fell on Wednesday as investors bet that the Federal Reserve will look through rising price pressures and continue cutting interest rates this year, after new projections showed that officials now expect lower growth and higher inflation.
TRADING DAY. Parsing the Fed's new economic projections and 'dot plot' Wall Street rallied sharply and Treasury yields fell on Wednesday as investors bet that the Federal Reserve will look through rising price pressures and continue cutting interest rates this year, after new projections showed that officials now expect lower growth and higher inflation.
Foreign holdings of U.S. Treasuries held steady in January from the previous month, rising from levels a year earlier, data from the Treasury Department showed on Wednesday, suggesting demand for government debt in the world's largest economy remained intact. Holdings of U.S. Treasuries tallied at $8.526 trillion in January, unchanged from the previous month.
TRADING DAY. Parsing the Fed's new economic projections and 'dot plot' Wall Street rallied sharply and Treasury yields fell on Wednesday as investors bet that the Federal Reserve will look through rising price pressures and continue cutting interest rates this year, after new projections showed that officials now expect lower growth and higher inflation.
TRADING DAY. Parsing the Fed's new economic projections and 'dot plot' Wall Street rallied sharply. and Treasury yields fell on Wednesday as investors bet that the Federal Reserve will look through rising price pressures and continue cutting interest rates this year, after new projections showed that officials now expect lower growth and higher inflation.
* Fed leaves interest rates unchanged, lowers economic outlook. * Central bank forecasts 50 basis points of rate cuts in 2025. * European stocks nab fourth straight day of gains. * Turkish assets drop after arrest of Erdogan rival. By Stephen Culp.
Foreign holdings of U.S. Treasuries held steady in January from the previous month, rising from levels a year earlier, data from the Treasury Department showed on Wednesday, suggesting demand for government debt in the world's largest economy remained intact. Holdings of U.S. Treasuries tallied at $8.526 trillion in January, unchanged from the previous month.
* Fed leaves interest rates unchanged; lowers economic outlook. * Central bank sees 50 basis points of rate cuts in 2025. * European stocks nab fourth straight day of gains. * Turkish assets drop after arrest of Erdogan rival. By Stephen Culp.
U.S. Treasury yields pared earlier gains on Wednesday after the Federal Reserve held interest rates steady, as expected, while U.S. central bank policymakers indicated they still anticipate reducing borrowing costs by half a percentage point by the end of this year.
* Yields rise ahead of Fed's rate decision and economic projections. * Focus on potential changes to SLR and quantitative tightening policies. * Traders watch U.S.-Russia negotiations and reciprocal tariff rates. By Karen Brettell.
Investors have been flocking to U.S. Treasuries as a safe haven due to market turmoil fueled by President Donald Trump's trade policies, but a looming debt ceiling debate and ongoing political brinkmanship are stark reminders that even the world's ultimate risk-free asset is not immune to cracks.
Investors have been flocking to U.S. Treasuries as a safe haven due to market turmoil fueled by President Donald Trump's trade policies, but a looming debt ceiling debate and ongoing political brinkmanship are stark reminders that even the world's ultimate risk-free asset is not immune to cracks.
U.S. stocks bounced on Wednesday after the U.S. Federal Reserve left its key interest rate unchanged but hinted it would reduce borrowing costs by half a percentage point by the end of the year.
* Traders bet on dovish tone from Fed's Powell on Wednesday. * U.S. single-family homebuilding rebounds in February. * Treasury sees strong demand for 20-year bonds. By Karen Brettell.
* Retail sales improve in February, NY factory activity plummets. * Stock market rally reduces demand for safe haven US debt. * Fed's Powell expected to remain cautious on rate cuts this week. By Karen Brettell.
U.S. Treasury yields rose on Friday on concerns over the potentially inflationary impact of tariffs as trade wars between the U.S. and its trading partners escalate, while a stock market recovery reduced safe-haven demand for U.S. government debt.
Yields on shorter-dated Japanese government bonds fell on Friday, supported by overnight declines of U.S. Treasury yields, while those on longer-dated bonds rose amid a lack of demand at the fiscal year-end.
* Fears of inflation send yields higher as tariffs implemented. * Producer prices unexpectedly unchanged in February. * Treasury to sell $22 bln in 30-year bonds. By Karen Brettell. U.S. Treasury yields rose on Thursday on concerns about the potential for higher inflation as a war over tariffs between the United States and trading partners escalates.
* Consumer price inflation rose less than expected in February. * Treasury sees good demand for 10-year note auction. By Karen Brettell. U.S. Treasury yields rose on Wednesday on the potentially inflationary impact of a global trade war, offsetting optimism over slowing consumer price gains in February.
* Euro pulls back from 5-month high, European stocks gain. * U.S. CPI data softer than expected. * Tariffs keep traders cautious. By Sin?ad Carew and Elizabeth Howcroft. Global stocks were barely changed and U.S. Treasury yields rose as data showing cooler U.S. inflation countered investor uncertainty around U.S. tariff policies and their impact on the global economy.
U.S. Treasury yields rose on Wednesday as concerns over the potentially inflationary impact of a global trade war offset optimism over slowing consumer price gains, after data showed that prices rose less than expected in February.
The yield spreads between corporate bonds and U.S. Treasuries widened late on Tuesday to their widest level since September, pointing to mounting investor worries about recession and a global trade war. U.S. investment-grade bond spreads hit 94 basis points on Tuesday, their widest level since Sept. 18, according to the ICE BofA Corporate Index.
U.S. Treasury yields briefly fell on Wednesday after data showed that consumer price inflation rose less than expected in February, before rising back to be little changed. The data may ease some concerns that the Federal Reserve will need to hold interest rates higher for longer to tackle stubborn price pressures.
Japanese government bond yields edged higher on Wednesday as a rise in U.S. Treasury yields overnight took the spotlight. The 10-year JGB yield rose 1.5 basis points to 1.52%, following a rise in U.S. Treasury yields after news that Ukraine would accept a U.S. proposal for a ceasefire with Russia. Benchmark 10-year JGB futures fell 0.42 points to 138.4 yen.
Global stocks rose in choppy trading on Wednesday while U.S. Treasury yields rose as data showing cooler U.S. inflation countered investor uncertainty around U.S. President Donald Trump's tariff policies and their impact on the global economy.
Global stocks rose on Wednesday with U.S. Treasury yields as relief over cooler U.S. inflation in February was countered by uncertainty around U.S. President Donald Trump's tariff policies and their potential impact on inflation and global growth.
* S&P 500, Nasdaq and Dow all close lower. * US and Canada to talk about tariffs later this week. * Treasury yields turn around as does gold. * Oil prices settle slightly higher. By Sin?ad Carew and Alun John.
* US stocks regain some ground on prospects of Ukraine ceasefire. * Treasury yields turn around as does gold. * Oil prices settle slightly higher. By Sin?ad Carew and Alun John. NEW YORK/LONDON, March 11 - Equities regained some lost ground on Tuesday as investors took encouragement from Ukraine's agreement to a ceasefire with Russia, even as they feared the economic impact of U.S. tariffs.
* US two-year Treasury yield hits five-month lows. * US one-year CDS rises to highest since November 5. * Junk corporate bond spreads are widest since September. By Matt Tracy. March 11 - U.S. Treasury yields drifted higher on Tuesday, rebounding after the yield on two-year notes hit five-month lows earlier, as risk-off sentiment eased in global markets a day after a Wall Street selloff.
* Two-year Treasury yield hits five-month lows. * Spreads on US government one-year credit default swaps hit widest level since November 5. * Junk corporate bond spreads widen to widest level since September. By Matt Tracy.
* US stocks fall again but less sharply after Monday's selloff. * Treasury yields turn around as does gold. * Oil prices bounce back. By Sin?ad Carew and Alun John.
U.S. Treasury yields steadied on Tuesday, pulling away from five-month lows hit earlier in the session, as signs of risk appetite returned to world markets a day after a sharp selloff on Wall Street. The two-year Treasury yield was trading at around 3.89% in London trade, little changed on the day and up from as low as a 3.83% hit during Asian hours.
The yield spread between junk-rated corporate bonds and U.S. Treasuries opened out late on Monday to its widest level since September, in a sign that overall investor confidence is deteriorating as worries about recession and a global trade war rise.
Japanese government bond yields dropped sharply on Tuesday, as U.S. Treasury yields fell overnight and losses in Japan and U.S. equities boosted appetite for safe-haven debt. The 10-year JGB yield fell 5 basis points to 1.525% in its biggest daily fall since January 16. "Investors turned to risk-off mode and scooped up bonds," said Miki Den, senior Japan rate strategist at SMBC Nikko Securities.
* Stocks fall as investors look for safer assets. * US Treasury yields drop, crude oil settles down >$1. * Nasdaq suffers biggest one-day pct loss since Sept 2022. By Sin?ad Carew and Nell Mackenzie.
Editor?s Note: This article has been updated to improve relevance and clarity. Bank of America Corp (BAC) shares are down 2.6% to $40.33 in Monday?s session and have fallen 10% over the past five sessions. The financial sector, which has been under pressure from rising Treasury yields and investor uncertainty, saw significant losses, with Bank of America (BAC) among the hardest hit.
In general the bond market is volatile, and fixed income securities carry interest rate risk. (As interest rates rise, bond prices usually fall, and vice versa. This effect is usually more pronounced for longer-term securities.) Fixed income securities also carry inflation risk and credit and default risks for both issuers and counterparties. Unlike individual bonds, most bond funds do not have a maturity date, so avoiding losses caused by price volatility by holding them until maturity is not possible.
Lower-quality debt securities generally offer higher yields, but also involve greater risk of default or price changes due to potential changes in the credit quality of the issuer. Any fixed income security sold or redeemed prior to maturity may be subject to loss.
Before investing, consider the funds' investment objectives, risks, charges, and expenses. Contact Fidelity for a prospectus or, if available, a summary prospectus containing this information. Read it carefully.
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