Apr 7, 2025
US government bonds faced a significant downturn on Monday, reversing a portion of their largest weekly gains since August, as investors showed renewed interest in riskier assets. According to a report by Bloomberg, the selloff pushed yields across all maturities up by at least 20 basis points, with 30-year bonds seeing an increase of nearly 23 basis points, marking the largest one-day rise since March 2020.
Market volatility was further fueled by fluctuating expectations regarding the Federal Reserve’s interest rate decisions. Traders are now anticipating four rate cuts this year, with the first fully priced in for June, amidst ongoing concerns about a potential global recession triggered by the US administration’s tariff policies.
IndexBox data highlights the broader market implications, noting that the S&P 500 index experienced significant swings, initially dropping by as much as…
