The 10-year yield reached its highest level since August 2007.
Bond yields ticked higher Tuesday, with the U.S. 10-year note’s yield reaching its highest level since August 2007.
Bond yields and stocks tend to move in opposite directions, as higher interest rates weigh on future profits. Higher yields push down tech stocks especially, as their valuations are largely based on future profits. And indeed, the tech-heavy Nasdaq Composite was performing the worst of the three indexes, down 1.6%, while the Dow fell 1.1% and the S&P 500 was off 1.2% in afternoon trading.
“They are buying bills that are above 10yrs,” 22V analysts said. “That is a shift from last year when investors shunned bills and a hard landing and steep rate cutting cycle were assumed.” “Maybe China is behind the rise in U.S. long rates,” wrote Torsten Sløk, chief economist at Apollo Global Management on Tuesday. “Growth in China is slowing for cyclical and structural reasons, and Chinese exports to the U.S. are lower. As a result, China has fewer dollars to recycle into Treasuries.”
Brasil Últimas Notícias, Brasil Manchetes
Similar News:Você também pode ler notícias semelhantes a esta que coletamos de outras fontes de notícias.
Treasury yields jump as Washington averts shutdownBond yields rose on Monday after a U.S. government showdown that could have damaged the economy was averted.
Consulte Mais informação »
S&P 500 futures shed early gains as Treasury yields jump after shutdown avertedU.S. stock futures initially rose early Monday as traders started the new quarter in a positive mood, but surging Treasury yields halted the rally in its tracks
Consulte Mais informação »
Treasury yields rise as investors sell bonds with government shutdown avoidedU.S. Treasury yields climbed on Monday, with the 10-year yield hovering just below the latest 15-year high it hit last week.
Consulte Mais informação »
Dow futures shed early gains as U.S. Treasury yields jump after shutdown avertedU.S. stock futures initially rose early Monday as traders started the new quarter in a positive mood, but surging Treasury yields halted the rally in its tracks
Consulte Mais informação »
U.S. stocks open mostly lower as Treasury yields jump after Washington averts government shutdownU.S. stock indexes opened mostly lower to start the month as Treasury yields resumed their climbs after U.S. legislators were able to reach a temporary...
Consulte Mais informação »
Treasury yields head back toward multiyear highs after U.S. government averts shutdownTreasury yields resumed their climb back toward the highest levels in at least a dozen years Monday morning, days after the U.S. government managed to avoid...
Consulte Mais informação »