Cryptocurrency analyst Benjamin Cowen discussed the latest Consumer Price Index report and its potential impact on Bitcoin and the broader market, emphasizing the delicate balance between inflation and unemployment rates. What Happened: In his latest podcast on Wednesday, Cowen discussed how the 10-year Treasury yield affects Bitcoin's price action.
The past week in the world of finance was marked by significant developments in the cryptocurrency sector. Standard Chartered Advises Against Buying Crypto Dip Standard Chartered?s Head of Digital Assets Research, Geoffrey Kendrick, cautioned investors against buying the dip in cryptocurrencies until U.S. Treasury yields come lower. Read the full article here.
Standard Chartered?s Head of Digital Assets Research Geoffrey Kendrick on Monday advised against buying the dip in cryptocurrencies until outright back-end U.S. Treasury yields come lower. What Happened: In a note to Benzinga, Kendrick stated that the current sell-off differs significantly from the previous one.
Amid rising concerns about a potential ?death spiral? in the U.S. Treasury market, major international investors remain unfazed. What Happened: European money managers, Australian pension funds, and Japanese insurers are still favoring U.S. Treasuries, attracted by their yield premiums compared to other markets.
The U.S. bond market is sending significant signals to Wall Street and Washington as Treasury yields approach levels not seen in nearly two decades, potentially complicating the incoming president-elect Donald Trump administration?s economic agenda. What Happened: The yield on the 10-year Treasury has surged more than 1% since September, nearing the psychologically important 5% threshold.
The allure of 5% yields is driving investor inflows into long-dated Treasury ETFs, even as persistent bond market losses and rising macro uncertainties complicate the interest-rate outlook. Last week, iShares 20+ Year Treasury Bond ETF saw a staggering $1.5 billion in inflows, as etfdb.com data shows.
Mortgage rates last week reached their highest levels since July 2024 with the average 30-year fixed mortgage rate staying above 7%, according to Bankrate. The Details: Mortgage rates have climbed higher following recent economic data which has dampened Wall Street's expectations for the Federal Reserve to cut rates in the near future and caused 10-year Treasury yields to surge.
As U.S. Treasury yields approach the psychological 5% mark which it last saw briefly in 2023 and during the global financial crisis in 2008, analysts seem less concerned, calling this yield convulsion an overreaction. What Happened: The U.S. 30-year Treasury yielded 4.95% by the end of the trading session on Friday, however, it touched a high of 5.005% intraday.
The labor market ended 2024 on a strong note, adding 256,000 jobs in December, exceeding economist forecasts and showcasing once again the resilience of the U.S. economy. Nonfarm payrolls rose by 256,000 last month, up from the downwardly revised 212,000 in November and sharply surpassing economist expectations of 160,000 payrolls as tracked by TradingEconomics.
The Federal Reserve indicated a more tempered approach to interest rate cuts in 2025. That?s according to minutes from the Fed?s December meeting, which were released on Wednesday, Jan. 8. Investor interest shifted toward treasury bonds, as the 10-year yield briefly touched 4.73% on Wednesday, amid resurfacing inflation fears and anticipation around potential tariffs and tax policies.
SoundHound AI Inc.?s shares are trading lower Wednesday potentially from continued momentum due to sector-wide challenges. What To Know: The broader tech selloff follows NVIDIA Inc.?s mixed reception at CES 2025 and rising treasury yields on Tuesday. Economic data may have also added to the decline.
The U.S. dollar extended its rally to a 14-month high and Treasury yields continued their relentless rise on Wednesday as speculation grew that President-elect Donald Trump is considering invoking sweeping emergency powers to implement new tariffs, fueling fears of inflation and policy uncertainty.
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The U.S. economy expanded at an annualized real growth rate of 3.1% in the third quarter of 2024, exceeding the prior estimate of 2.8%, according to the official final reading released on Thursday. This marks the fastest pace of economic expansion since the fourth quarter of 2023 and signals a stronger-than-expected rebound in activity.
A widely expected increase in the October Personal Consumption Expenditures price index ? commonly regarded as the Federal Reserve's preferred inflation gauge ? triggered fresh losses for the U.S. dollar, while Treasury yields and U.S. stocks also slid in tandem.
The victory of President-elect Donald Trump accompanied by stronger-than-expected economic data has been able to shrug off the worries from the rise in Treasury yields as the S&P 500 Index, which fell by 2.3% last week at 5,870.62 is still higher than its pre-election levels of 5,712.69 points on Monday, Nov. 4. However, Fed Chair Jerome Powell?s pirouette on interest rate reduction on Th...
Yields on U.S. sovereign debt rose during election night as investors digested the preliminary results from the closely contested fight between Donald Trump and Kamala Harris.
Bank of America released a bullish note on gold Thursday, just as the precious metal reached new record highs at $2,696 per ounce. Gold remains ?the ultimate perceived safe haven asset? in today's macroeconomic environment, according to Bank of America?s commodity analyst Michael Widmer, amid rising concerns over U.S. fiscal policies and their potential impact on Treasury yields.
The CNN Money Fear and Greed index showed a decline in the overall market sentiment, but the index remained in the ?Greed? zone on Monday. U.S. stocks settled lower on Monday, with the Dow Jones index dipping around 400 points during the session amid higher Treasury yields.
As the market anticipates the release of the August Personal Consumption Expenditures report, the iShares 20+ Year Treasury Bond ETF (TLT) is sending clear signals for fixed-income investors.
Standard Chartered's head of digital assets research sees Bitcoin?s prices possibly experiencing a significant boost in the coming months. What Happened: The recent rate cut by the U.S. Federal Reserve has led to a situation where long-term borrowing costs for U.S. Treasury notes are relatively higher than short-term borrowing costs.
The iShares 20+ Year Treasury Bond ETF (TLT) surged 0.8% on Monday, climbing above $101 per share to its highest level since July 2023 as investors anticipate an imminent interest rate cut by the Federal Reserve. On the same day, Yields on the 30-year U.S. Treasury bond dropped to 3.93%, marking their lowest levels since late July 2023, indicating higher demand for bonds.
Shares of AT&T Inc (T) saw a 1.9% to $21.30 decline Wednesday morning, pressured by rising U.S. Treasury yields in the wake of the August Consumer Price Index report, which showed an unexpected increase in core inflation.
The U.S. Treasury yield curve officially exited its prolonged inversion on Friday, Sept. 6. This marks the end of over two years when short-term yields were higher than those on long-term bonds ? a rare and closely watched economic phenomenon. As of Monday, the 10-year Treasury yield stood at 3.72%, with the two-year at 3.65%. That?s a spread of 7 basis points.
Lower-than-expected private employment growth in August triggered positive reactions Thursday in interest rate-sensitive assets like gold and the Japanese yen, while pushing Treasury yields lower as traders bolster their bets on a 50-basis-point rate cut by the Federal Reserve this month.
Stablecoin issuers like Tether Holdings Ltd. are becoming increasingly significant in the U.S. Treasury market, traditionally dominated by more secure and conventional financial entities. What Happened: Tether, the largest stablecoin issuer, now holds $81 billion in Treasury bills, as it seeks the safest assets to back its digital tokens.
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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