U.S. Treasuries extended heavy losses on Wednesday in a sign investors are dumping even their safest assets as a global market rout unleashed by U.S. tariffs took another twist. Warning signals had been flashing for a few days as spreads between Treasury yields and swap rates in the interbank market collapsed under a weight of bond selling.
U.S. Treasuries extended heavy losses on Wednesday in a sign investors are dumping even their safest assets as a global market rout unleashed by U.S. tariffs took another twist. Warning signals had been flashing for a few days as spreads between Treasury yields and swap rates in the interbank market collapsed under a weight of bond selling.
The sharp rise in Treasury yields likely stems from the unwinding of basis trades and could trigger liquidity crisis, deepening the sell-off in risk assets.
* Oil prices dive almost 4%, safe-haven currencies gain. * Wall St futures down 1.5%, Nikkei tumbles 3.8% * The onshore yuan hovers just above the lowest since 2007. * Longer-dated Treasuries getting slammed in Asia. By Stella Qiu.
Major stocks indexes sank in Asia on Wednesday after President Donald Trump's eye-watering 104% tariffs on China took effect, while a savage selloff in Treasuries sparked fears foreign funds were fleeing U.S. assets.
Major stocks indexes sank in Asia on Wednesday after President Donald Trump's eye-watering 104% tariffs on China took effect, while a savage selloff in Treasuries sparked fears foreign funds were fleeing U.S. assets.
President Donald Trump?s tariff announcements led to a sell-off in the stock market and prompted investors to move to safer assets such as Treasury bonds. Mortgage Rates: Despite the initial drop, mortgage rates rebounded as Treasury yields ticked back up. The current rate for a 30-year fixed mortgage sits at 6.85%, according to Mortgage News Daily.
* Two-, 10-year yield curve steepest since Feb. 2022. * US raises tariffs on Chinese imports. * Soft demand for $58 billion three-year note auction. By Karen Brettell.
* Some investors thought to be selling bonds to deleverage. * US calls China's retaliation against its tariffs a 'big mistake' * Soft demand for $58 billion three-year note auction. By Karen Brettell.
* Some investors thought to be selling bonds to deleverage. * US calls China's retaliation against its tariffs a 'big mistake' * US Treasury sells $58 billion of three-year notes on Tuesday. By Karen Brettell.
The yield on the benchmark U.S. Treasury bond has fallen dramatically since President Donald Trump took office in January. The term premium, a component of yields, is a measure of the compensation investors want for the risk of lending money for the life of a 10-year Treasury bond.
* Yields rise on tariff optimism. * Some investors thought to be selling bonds to deleverage. * US Treasury to sell $58 bln bln three-year notes on Tuesday. By Karen Brettell. U.S. Treasury yields jumped on Tuesday for the second day on greater optimism that U.S. President Donald Trump will strike deals with trading partners that limit the expected economic fallout from tariffs.
After a wild Monday, equity trading appears to have calmed somewhat even as the U.S.-inspired trade war ratchets up. Today's Market Minute. * China refused to bow to what it called "blackmail" from the United States as a global trade war ignited by President Donald Trump's sweeping tariffs showed little sign of abating on Tuesday.
What matters in U.S. and global markets today By Mike Dolan, Editor-At-Large, Financial Industry and Financial Markets. After a wild Monday, equity trading appears to have calmed somewhat even as the U.S.-inspired trade war ratchets up. Today's Market Minute.
One of the most volatile trading sessions since March 2020 exposed deep cracks in the global financial system?foreign selling of U.S. Treasury notes is questioned.
Japanese government bond yields jumped on Tuesday, tracking U.S. Treasury yields' overnight rise, as investors turned to a risk-on mode as local equities logged sharp gains. The 10-year JGB yield climbed 14 basis points to 1.25% in its steepest daily jump since December 2022.
"The changing momentum on what the market is looking for on tariffs and the volatility in the equity market is spilling over into the Treasury market, and munis can only fight the Treasury market for so long," said Pat Luby, head of municipal strategy at CreditSights.
* Treasury yields higher on day on tariff optimism. * Two-year yields earlier reach lowest since September 2022. * Tariff uncertainty expected to keep market volatile. By Karen Brettell. U.S. Treasury yields rebounded on Monday on rising optimism that some countries may negotiate deals with U.S. President Donald Trump to avoid trade tariffs.
* Asian stock markets : https://tmsnrt.rs/2zpUAr4. * S&P 500 futures drop over 4%, Nikkei slides almost 8% * Futures price in extra 25bps Fed easing this year. * Dollar down with Treasury yields, yen climbs. * Oil dives as global recession risks mount. By Wayne Cole.
Most major stock indexes ended a turbulent Monday lower as U.S. President Donald Trump showed no sign of easing up on his global trade war, while U.S. Treasury yields rebounded. The European Union proposed counter-tariffs on Monday, while Trump threatened to add another 50% duty on U.S. imports from China on Wednesday if it did not withdraw its 34% retaliatory tariffs from last week.
Most major stock indexes ended a turbulent Monday lower as U.S. President Donald Trump showed no sign of easing up on his global trade war, while U.S. Treasury yields rebounded. The European Union proposed counter-tariffs on Monday, while Trump threatened to add another 50% duty on U.S. imports from China on Wednesday if it did not withdraw its 34% retaliatory tariffs from last week.
The 10-year Treasury just notched its best week since August, as a market flight to safety sent yields tumbling below 4%. Investors rushing out of risk assets have piled into government bonds, pushing Treasury prices higher and handing the iShares 20+ Year Treasury Bond ETF a solid boost. Chart created using Benzinga Pro TLT is riding the wave, up 6.53% year-to-date and 2.03% in the past month.
Global bank stocks tanked on Friday, exacerbating a punishing selloff in the wake of U.S. President Donald Trump's sweeping tariffs, Japanese banks tanked, European banking stocks slid 7% and were set for the biggest one-day fall since February 2022, while safe-haven U.S. Treasuries gained. Traders meanwhile priced in more than 100 basis points of Federal Reserve rate cuts this year.
Japanese banks tanked on Friday and stocks globally extended a punishing selloff in the wake of U.S. President Donald Trump's sweeping tariffs, helping drive a rally in U.S. Treasuries and supporting gold near a record peak. Benchmark 10-year U.S. Treasury yields slid under 4% and traders priced in more than 100 basis points of Federal Reserve rate cuts this year.
* Stocks struggle after global selloff on Trump's tariffs. * Investors fear U.S. recession, ramp up bets on Fed rate cuts. * Safe-haven assets rise; gold near record high. By Rae Wee.
* Trump's tariffs stoke recession fears, impacting global markets. * Yields on U.S. Treasuries drop significantly amid economic concerns. * Gauge of U.S. services sector hits nine-month low. By Chuck Mikolajczak.
* Dollar follows Treasury yields lower on US growth worries. * Investors flee to safe havens yen and Swiss franc. * Asian currencies struggle in the face of US tariffs. By Yadarisa Shabong and Ankur Banerjee.
* Dollar follows Treasury yields lower on US growth worries. * Investors flee to safe havens yen and Swiss franc. * Asian currencies struggle in the face of US tariffs. By Ankur Banerjee and Yadarisa Shabong.
* Dollar follows Treasury yields lower on US growth worries. * Investors flee to safe havens yen and Swiss franc. * Asian currencies struggle in the face of US tariffs. By Ankur Banerjee.
-World markets were slammed on Thursday by U.S. President Donald Trump's unveiling of reciprocal tariffs to match duties put on U.S. goods by other countries. Stock markets tumbled and investors dashed to the relative safety of bonds, gold and the yen. U.S. Treasury yields slid, China's yuan dropped to a seven-week low, crude oil slumped and the dollar came under heavy selling pressure.
* Gold gains ground on safe-haven flows. * Treasury yields fall while U.S. dollar loses ground. * Trading choppy after Trump tariff announcements. By Sin?ad Carew.
U.S. Treasury yields fell on Wednesday and two-year yields were the lowest in three weeks after U.S. President Donald Trump said he is imposing reciprocal tariffs to match duties put on U.S. goods by other countries.
TRADING DAY. Only 24 hours until Trump unveils new tariffs. The first trading day of the quarter on Tuesday was a nervy affair ahead of U.S. President Donald Trump's "Liberation Day" on Wednesday, with markets struggling for clear direction as Trump's new trade barriers loomed into view. Stocks mostly rose but U.S. Treasury yields tumbled, while gold and the dollar broadly held steady.
TRADING DAY. Only 24 hours until Trump unveils new tariffs. The first trading day of the quarter on Tuesday was a nervy affair ahead of U.S. President Donald Trump's "Liberation Day" on Wednesday, with markets struggling for clear direction as Trump's new trade barriers loomed into view. Stocks mostly rose but U.S. Treasury yields tumbled, while gold and the dollar broadly held steady.
For most of the past five years, bonds have been in a brutal bear market. Since peaking on March 9, 2020, the iShares 20+ Year Treasury Bond ETF ? the world?s largest fixed-income ETF ? has lost nearly 50%, battered by tight monetary policy, strong economic growth and persistent inflation. Yet, fresh reversal signals have started emerging as the first quarter of 2025 draws close.
* Goldman Sachs raises U.S. recession probability to 35% * Trump's tariffs increase risk-off sentiment among investors. * 10-year yield on track for third straight monthly fall. By Chuck Mikolajczak.
* White House to announce suite of reciprocal levies on Wednesday. * Dollar under pressure from sliding Treasury yields. * Hotter-than-expected US inflation spurs stagflation worries. By Kevin Buckland and Yadarisa Shabong.
* White House to announce suite of reciprocal levies on Wednesday. * Dollar under pressure from sliding Treasury yields. * Hotter-than-expected US inflation spurs stagflation worries. By Kevin Buckland.
* Dollar under pressure from sliding Treasury yields. * Hotter-than-expected U.S. inflation spurs stagflation worries. * White House to announce suite of reciprocal levies on Wednesday. By Kevin Buckland.
U.S. Treasury yields had a relatively muted response to the release on Friday of the U.S. Personal Consumption Expenditure data, the Federal Reserve's favored indicator for inflation. The Personal Consumption Expenditures price index increased 0.3% in February, in line with forecasts, after advancing by an unrevised 0.3% in January.
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.
Line of Credit 
Publication Date